Fusion Order MGMT Student Guide 2

Oracle Internal & Oracle Academy Use Only
Oracle SCM Cloud: Order

Management and Fulfillment Cloud
Implementation
Student Guide - Volume II

D96237GC30
Edition 3.0 | May 2018 | D102911
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Contents
1 Course Introduction
Course Objectives 1-2
Course Outline 1-3
Instructional Approach 1-6
Resources for Implementation 1-7

2 Overview of Order to Cash
Objectives 2-2
Order-to-Cash Flow 2-3
Business Case: End-to-End Flow 2-4
Topics 2-5
Order-to-Cash Functional Steps 2-7
Order to Cash: Order Capture and Fulfillment 2-8
Order to Cash: Applications and Key Features 2-9
Topics 2-10
Order Management Integrations 2-11
Topics 2-12
Business Flows 2-13
Business Flow: New Order 2-14
Business Flows 2-16
Trade Compliance Screening and Transportation Planning 2-17
Outbound Integration of Transportation and Trade Management 2-18
Business Flow: New Order With Trade Compliance Screening and
Transportation Planning 2-19
Business Flows 2-20
Business Flow: Return Order 2-21
Business Flows 2-22
Business Flow: Change Order 2-23
Business Flows 2-24
Ordering an Item With a Bill-Only Process 2-25
Topics 2-26
Order Creation with Different Types of Items 2-27
Order Creation: Standard Item 2-28
Order Creation: Configured Item 2-30
iii
Order Creation: Coverage Item 2-32
Order Creation: Subscription Item 2-34
Demonstration: 2-1 2-35
Practices: Overview 2-37
Summary 2-38
3 Pricing Strategies
Objectives 3-3

Topics 3-4
Pricing Solution 3-6
Business Use Case 3-8
Pricing Strategies: Overview 3-9
Topics 3-11
Pricing Strategies: Customer Pricing Profiles 3-12
Pricing Strategies: Pricing Segments 3-13
Pricing Strategies: Pricing Strategy Assignments 3-15
Pricing Strategies 3-16
Price Execution: Derive Pricing Strategy 3-19
Topics 3-20
Matrixes: Overview 3-21
Matrix Classes 3-23
Matrix Types 3-24
Matrix Rules 3-25
Practice 3-1: Reviewing Pricing Segment and Strategy 3-26
Summary 3-27
4 Price Lists
Objectives 4-3
Topics 4-4
Price List Use Case 4-6
Price Lists 4-7
Price Lists: Types 4-8
iv
Topics 4-12
Charges 4-13
Topics 4-15
Adjustments: Tier-Based 4-16
Adjustments: Attribute-Based 4-18
Topics 4-19
Pricing of Standard Items 4-20
Topics 4-21
Pricing of Configurable Items (Models) 4-22
Topics 4-23
Pricing of Coverage Items 4-24

Topics 4-27
Pricing of Subscription Items 4-28
Summary 4-31
5 Discount Lists
Objectives 5-3
Topics 5-4
Discount List Use Case 5-5
Topics 5-6
Discount Lists 5-7
Topics 5-8
Simple Discounts 5-9
Establishing Discounts for Configurable Models 5-10
Topics 5-11
Tier-Based Discounts 5-12
Topics 5-13
Attribute-Based Discounts 5-14
Topics 5-16
Manual Adjustments 5-17
Practice: 5-1 5-20
Summary 5-21
6 Shipping Charge Lists

Objectives 6-3
Topics 6-4
Shipping Charge List Use Case 6-6
v
Topics 6-7
Managing Shipping Charge Lists 6-8
Topics 6-10
Define Item-Based Shipping Charges 6-11
Create Shipping Charges 6-12
Summary 6-14
7 Guidelines
Objectives 7-3

Topics 7-4
Guidelines: Overview 7-6
Guideline Validation 7-8
Topics 7-9
Guidelines: Setup 7-10
Make Price Elements Eligible for Use in Guidelines Creation 7-11
Create Conditions in the Pricing Matrix Class 7-12
Map a Matrix Class to the Pricing Charge Guideline Matrix Type 7-13
Map the Pricing Operation to the Pricing Process 7-14
Summary 7-16
8 Configure Orders
Objectives 8-3
Topics 8-4
Configurable Products: Explained 8-6
Configurator 8-7
Configurator Modeling 8-8
Topics 8-9
Selecting the Options of a Configurable Product: Configurator Runtime 8-10
Configurator Runtime User Interface 8-11
Configurator UI Navigation Schemes 8-12
Single-Page Navigation 8-13
Dynamic Tree Navigation 8-15
Step-by-Step Navigation 8-16
Topics 8-17
Integration with Oracle Fusion Pricing 8-18
vi
Practice: 8-1 8-20
Summary 8-21
9 Change Order Processing

Objectives 9-3
Order-to-Cash Data Flow 9-4
Change Order Business Flow 9-6
Summary 9-8

10 Global Order Promising: Introduction and Overview
Objectives 10-3
Topics 10-4
Functional Architecture: Oracle Supply Chain Planning Cloud and
Global Order Promising 10-6
Functional Integration Touchpoints 10-7
Functional Components 10-8
Topics 10-10
Key Functionality 10-11
Advanced Fulfillment Techniques 10-13
Promising of Configure-to-Order Items 10-14
Work Area for Managing Order Backlog 10-15
Summary 10-16
11 Order Promising Rules: Sourcing Rules and ATP Rules

Objectives 11-3
Topics 11-4
Sourcing Rules 11-6
Global and Local Sourcing Rules 11-7
Global Sourcing Rules and Assignment 11-8
Creating Sourcing Rules 11-9
Assigning Sourcing Rules 11-10
Supported Assignment Levels for Global Sourcing 11-11
Sourcing Rule and Assignment Setup: Example 11-12
Local Sourcing Rules 11-13
Topics 11-15
ATP Rules 11-16
vii
Promising Modes 11-17
Supported Promising Modes 11-18
Supply Chain Availability Search Mode 11-19
ATP Rule Assignment 11-20
Summary 11-22
12 Key Order Promising Functionality

Objectives 12-3
Topics 12-4

Order Promising Workflow 12-6
Check Availability: Key Features 12-8
Check Availability 12-9
Alternate Availability Options 12-11
Topics 12-12
Capable-to-Promise 12-13
Topics 12-14
Profitable-to-Promise 12-15
Topics 12-17
Fulfillment Line Splits 12-18
Topics 12-19
End Item Substitution 12-20
Topics 12-21
Support Advanced Fulfillment Techniques 12-22
Topics 12-24
CTO Promising 12-25
Topics 12-26
Global Order Promising Work Area 12-27
Practice: 12-1 12-28
Summary 12-29
13 Data Collection and Global Order Promising Administration

Objectives 13-3
Topics 13-4
Data Collections for Global Order Promising 13-6
Data Collections Using File-Based Import 13-9
Data for Global Order Promising Collected Through File-Based Import 13-10
Data for Order Management Collectible Through File-Based Import 13-11
viii
Data Collection Configuration Summary 13-12
Data Collection from Files: Uploading the File 13-14
Data Collection from Files: Running the Scheduled Process 13-15
External Source System Setup 13-16
Cross-Reference Data Collections Setup Detail 13-17
Viewing the Cross-Reference Collected Data Setup Detail 13-19
Topics 13-22
Administration: Restarting the Global Order Promising Engine 13-23
Topics 13-24
Administration: Real-Time Supply Update 13-25
Summary 13-26

14 Order Import
Objectives 14-3
Topics 14-4
Importing Orders 14-8
Additional Considerations for the Import of Coverage and Subscription Lines 14-9
Import of Coverage Order Line Against Configured Covered Items 14-10
Modifications and Cancellations of Coverages Through Order Import 14-11
Import of Coverage Return Lines 14-12
Import of Subscription Lines 14-13
Topics 14-14
Direct Web Service Integration 14-15
Topics 14-17
File-Based Import 14-18
Import Processing 14-19
Topics 14-23
Business-to-Business Messaging 14-24
Demonstrations 14-25
Summary 14-27
15 Transformation
Objectives 15-3
Topics 15-4
Topics 15-7
Transformation: Introduction 15-8
ix
Sales Order Versus Transformed Order 15-9
Transformed Order: Example 15-10
Topics 15-11
Product Transformation 15-12
Topics 15-13
Product-to-Product Transformation 15-14
Attribute-to-Product Transformation 15-15
Context-to-Product Transformation 15-16
Product-to-Attribute Transformation 15-17
Attribute-to-Attribute Transformation 15-18
Context-to-Attribute Transformation 15-19

Topics 15-20
Transformation Using Oracle Business Rules 15-21
Setting Up Transformation 15-23
Demonstrations 15-24
Summary 15-26
16 Orchestration Process Definitions

Objectives 16-3
Topics 16-4
Topics 16-9
Task Types 16-10
Topics 16-12
Managing an Orchestration Process Definition 16-13
Topics 16-16
Dependencies Between Steps 16-17
Topics 16-22
Oracle Business Rules (OBR) in Orchestration Process Definitions 16-23
Topics 16-26
Validating New or Updated Orchestration Process Definitions 16-27
Topics 16-28
Setting Up Orchestration Processes for Coverage Items 16-29
Setting Up Orchestration Processes for Coverage Items: Fulfillment
Lines in Same Instance 16-30
Setting Up Orchestration Processes for Coverage Items: Fulfillment
Lines in Different Instances 16-31
x
Summary 16-33
17 Status Management
Order to Cash Flow 17-2
Objectives 17-3
Topics 17-4
Order to Cash Data Flow 17-5
Topics 17-7
What Are Statuses? 17-8
Topics 17-10

How Statuses Are Assigned 17-11
Topics 17-12
Status Setup 17-13
Setting Up Status Values 17-14
Setting Up Task Status Conditions 17-16
Setting Up Status Conditions 17-20
Orchestration Process Status Conditions 17-21
Fulfillment Line Status Conditions 17-22
Demonstration 17-24
Summary 17-27
18 Change Management and Process Assignment

Objectives 18-3
Topics 18-4
Topics 18-7
How Does Change Management Work? 18-8
Compensation: Example 18-12
Topics 18-17
Managing Orchestration Process Assignment Rules 18-19
Orchestration Groups 18-20
Summary 18-23
xi
19 Orchestration Process Planning, Deployment, and Jeopardy
Objectives 19-3
Topics 19-4
Topics 19-7
What Is Planning? 19-8
Topics 19-11
What Is Jeopardy? 19-12
Managing Jeopardy Priorities 19-14
Managing Jeopardy Threshold Definitions 19-15

Topics 19-19
Releasing and Deploying the Orchestration Process Definition 19-20
Summary 19-22
20 Processing Constraints, Approvals, and Hold Codes

Objectives 20-3
Topics 20-4
Topics 20-7
What Are Processing Constraints? 20-8
Processing Constraint Components 20-9
Managing Constraint Entities 20-11
Managing Processing Constraints 20-15
Topics 20-16
Approvals 20-17
High-Level Approval Flow 20-18
Approvals 20-20
Topics 20-22
Holds 20-23
Setting Up Hold Codes 20-25
Summary 20-29
xii
21 External Integration
Objectives 21-3
Topics 21-4
Topics 21-8
Managing Integration with Oracle Fusion Order Management 21-9
Managing External Interface Web Service Details 21-10
Topics 21-12
Oracle Integration Cloud Service 21-13

Topics 21-15
Manage External Interface Routing Rules 21-16
Topics 21-18
Business Event Notification 21-19
Topics 21-22
Fulfill Order Task Layer Integration 21-23
Summary 21-25
22 Extending Order Management

Objectives 22-2
Topics 22-3
Extending Integration with Oracle Fusion Receivables 22-5
Extending Integration with Oracle Fusion Receivables: Example Use Cases 22-6
Integration with Oracle Fusion Receivables: High-Level Steps 22-7
Topics 22-8
Using Extensions with Order Management 22-9
Using Extensions with Order Management: What Extensions Can Do 22-10
Using Extensions with Order Management: Flow and Extension Points 22-11
Topics 22-13
Page Composer 22-14
Topics 22-15
Extensible Flexfields 22-16
Extensible Flexfields: Example Use Case 22-17
Extensible Flexfields: Uses of Flexfields 22-18
Extensible Flexfields: Setup 22-19
Summary 22-20
xiii
23 Overview of Shipping
Objectives 23-3
Topics 23-4
Shipping Process Flow 23-6
Shipping Process Flow and User Roles 23-7
Topics 23-9
Pick Release Process Flow 23-10
Integrating with an External Manufacturing System 23-12
Topics 23-13
Ship Confirm Process Flow 23-14

Summary 23-17
24 Shipping Basic Setup

Objectives 24-3
Topics 24-4
Shipping Parameters 24-6
Shipping Parameters: General 24-8
Shipping Parameters: Pick Release 24-10
Shipping Parameters: Shipment Grouping 24-12
Topics 24-13
Carriers 24-14
Topics 24-16
Shipping Cost Types 24-17
Topics 24-18
Shipping Documents 24-19
Shipping Document Sequences 24-20
Topics 24-22
Shipping Exceptions 24-23
Topics 24-25
Shipping Lookups 24-26
Topics 24-28
Shipping Process Flow and User Roles 24-29
Summary 24-33
xiv
25 Pick Wave Management
Objectives 25-3
Topics 25-4
What Is a Pick Wave? 25-6
Pick Wave Usage 25-7
Pick Release Process Options 25-8
Pick Release 25-9
Topics 25-10
Movement Request 25-11
Topics 25-12

Pick Wave Release Rule 25-13
Topics 25-15
Release Sequence Rules 25-16
Topics 25-18
Picking Rules 25-19
Picking Rule Assignments 25-21
Topics 25-23
Pick Slip Grouping Rule 25-24
Practice 25-1: 25-26
Summary 25-27
26 Pick Confirmation
Objectives 26-3
Topics 26-4
Pick Confirmation: Overview 26-6
Release Process Options 26-8
Topics 26-9
Summary 26-13
27 Shipment Confirmation
Objectives 27-3
Topics 27-4
What Is Ship Confirm? 27-6
Pick Release and Ship Confirmation Process Options 27-7
Topics 27-8
One-Step Shipping 27-9
xv
Ship Confirmation 27-11
Topics 27-13
Ship Confirm Rules 27-14
Topics 27-16
Ship Confirm Rule: Shipping Parameters 27-17
Topics 27-18
Consolidation of Backordered Lines 27-19
Shipment Consolidation 27-20
Summary 27-23

28 Conclusion
Objectives 28-3
Practice: 28-1 28-4
Practice: 28-2 28-5
Summary 28-6
xvi
16
Orchestration Process
Definitions

Part 6: Orchestration
Order Management and Fulfillment Cloud
Implementation
Copyright © 2017, Oracle and/or its affiliates. All rights reserved.

Order-to-Cash Flow
Defining Orchestration
Optimize Orchestrate
Sourcing & Fulfillment
Manage, View Schedule Pick & Ship
& Enrich
Order

Order Global Order
Inventory Finance
Create, Management Promising
Bill & Collect
Configure &
Price Order
This diagram presents the overall order-to-cash flow. An order is created or captured in
Oracle Order Management Cloud. The order is priced using Oracle Fusion Pricing. Products
can be configured using Oracle Fusion Configurator. The order is enriched to include useful
fulfillment information. Oracle Fusion Global Order Promising generates a supply
recommendation and schedule. Oracle Supply Chain Planning Cloud uses the order data in
planning for component availability in the case of models and kits. Order Management Cloud
orchestrates order fulfillment, which includes but isn’t limited to reserving material, sending
requests to ship material, sending requests to generate invoices, and billing customers.
Oracle Fusion Shipping ships the product to the customer. Oracle Financials Cloud sends the
invoices to the customer.
You can use Order Management Cloud to fulfill standard products, services, configurations,
models, and kits. You can also use various fulfillment methods, such as drop shipment, back-
to-back, and internal transfers.
This diagram focuses on the order fulfillment orchestration.
Oracle SCM Cloud: Order Management and Fulfillment Cloud Implementation 16 - 2

Objectives
After completing this lesson, you should be able to:

• Explain orchestration
• Explain what an orchestration process is
• Identify components of an orchestration process
• Discuss defaulted values and identify required information
• Begin creating an orchestration process definition step

• Define steps
• Select tasks
• Select task types
• Explain step dependencies
• Explain branching

Topics
• Data Flow
• Task Types
• Managing an Orchestration Process Definition
• Dependencies Between Steps
• Oracle Business Rules in Orchestration Process Definition
• Validating New or Updated Orchestration Process Definitions

• Setting Up Orchestration Processes for Coverage Items

Topics
• Data Flow
• Task Types

This section discusses the flow of data in order management and fulfillment.

Order-to-Cash Data Flow
Orchestration

Task Layer
Orchestration
During runtime, orchestration occurs after a sales order is submitted or a channel order is
automatically transformed and business rules automatically assign the appropriate
orchestration process to the fulfillment lines of the order. Task layer services send requests to
downstream applications to perform orchestration tasks, such as schedule, reserve, or ship.
Task layer services also interpret the responses and updates from these applications.
Definitions
• Orchestration is the automated sequence of fulfillment steps for processing an order. All
of the above steps are to set up automated processes to fulfill sales orders. These
automated processes are called orchestration processes. You will define orchestration
processes to mirror your business processes; the definition is much like a blueprint. The
orchestration process definition includes the sequence of service calls, as well as
planning details, change management parameters, and status conditions. The
orchestration process instance is created at runtime. After an orchestration process
instance is created, it is assigned to one or more fulfillment lines.

• The purpose of many of the preceding tasks is to create data that will be used in the
orchestration process definition.
• External interface refers to integration of Order Management with external fulfillment
systems.
• The application has predefined setup data for most of these tasks. Your company may
determine that it can use the tasks as they are for its initial implementation projects.
Key to the Diagram
A. External order capture systems: The systems where orders originate.
B. Fulfillment systems: The systems where inventory is tracked, items scheduled,
reserved, received, and shipped, and where invoices are generated. Fulfillment activities
are not limited to the ones listed here. There may be one or more external fulfillment
systems and one Oracle ERP Cloud fulfillment system.

- External
- Internal
- Oracle Inventory and Cost Management Cloud: Module where the logistics
functions are performed.
- Oracle Financials Cloud: Module where the financial transactions are
performed.
C. Order Management and Planning Data Repository: Order Management processes
use data in the repository to cross-reference and validate data. Global Order Promising
Cloud uses supply and demand data refreshed into the order promising engine from the
repository when determining availability. The repository is populated by Order
Management Cloud and Global Order Promising Cloud data collection processes.
D. Oracle Fusion Product Model: Order Management processes use data in the Product
Model to determine the product data for orders, provide cross-system product cross-
referencing, and provide product structure decomposition rules. (Broader capability for
product information management isn’t needed.)
E. Oracle Fusion Trading Community Model: Order Management processes use data in
the Trading Community Model to determine the customer data for transformed orders
and provide cross-system customer data cross-referencing. (Broader capability for
customer data management isn’t needed.)
F. Oracle Business Rules (Middleware): The middleware tool that is used to define
business rules that are used during decomposition and orchestration. The rules that are
defined for decomposition are stored in the middleware layer.
G. Oracle Order Management Cloud components:
- Order import: Receives single or bulk sales orders from channels and uses
defined product transformation rules to transform them into transformed orders.
- Assign and launch: Fulfillment lines are then grouped and assigned.
- Business events: Business events are raised during the fulfillment process at
user-configured trigger points.
- Order entry: Order entry user interface where users can create and submit orders.
- Oracle Fusion Pricing: Module where you can define and manage prices for
products.

- Oracle Fusion Configurator: Module where you can define and manage the
product configurations.
- Orchestration: Automatically sequences the fulfillment steps for processing an
order. Calls task layer services to carry out the steps of the orchestration process.
- Task Layer Services: Execute as steps in user-defined fulfillment process
sequences. These services send information to downstream fulfillment systems
and interpret the responses and updates from those systems. For example, a ship
order process calls the task layer service Create Shipment request to send a
shipment request to the shipping system.
- External Interface Layer: Manages the communication between Order
Management and external/internal fulfillment systems. Its primary functions are
routing the fulfillment request and transforming the data.
H. Global Order Promising Cloud: Used automatically by an orchestration process to

schedule the best fulfillment options for a fulfillment line. Used manually by a user to
determine and choose availability options when manually managing an order.
I. Order Management work area: Used by a user, such as an order manager, to monitor
order lines.

Topics
• Data Flow
• Task Types

This section discusses the different task types in Order Management.

Task Types
Schedule Trade Compliance
Reservation Credit Check
Shipment Return
Invoice Fulfill Order

Procurement Pause
Transportation Planning Supply
Task types are groupings of related fulfillment tasks. Each task type contains a selection of
services that can be used to communicate with a specific type of fulfillment system, for
example, a billing system. Services represent the types of actions that are being requested of
the fulfillment system, such as creating the shipping request or canceling it.
When you create the steps of an orchestration process definition, you select from the
predefined and user-defined task types and services. A task type may span multiple
orchestration process steps.
Oracle Fusion Order Management provides the following predefined task types:
• Schedule: Set of services that enable scheduling of a fulfillment line
• Reservation: Set of services that enable reservation of items of a fulfillment line
• Shipment: Set of services that communicate with a shipping fulfillment system to ship
the items on a fulfillment line
• Invoice: Set of services that communicate with a billing system to create invoices
against an order line by line

• Procurement: Set of services that enable sourcing and shipping of items of a fulfillment
line from an outside organization.
• Transportation Management: Set of services that communicates with a transportation
management system for to plan order line shipment. After the order lines are planned,
the transportation details are sent back to Shipping for further processing.
• Trade Compliance: Set of services that screen orders to verify compliance with trade
restrictions, for example, denied party screening.
• Credit Check: Set of services that validate orders to verify that the customer has
sufficient credit to cover the cost of the purchase and holds an order line that doesn’t
pass the credit check.
• Return: Set of services that communicate with a fulfillment system to return items of a
fulfillment line
• Fulfill: Set of services that enable integration between Oracle Fusion Order

Management and an enterprise resource planning (ERP) system. Note that the
fulfillment task layer is not atomic like the other task layers, you can have multiple
fulfillment actions through a single request, such as shipment and invoicing.
• Pause: Set of services that temporarily pause processing to wait until a particular date
or event before going to the next step. This task can be used to coordinate processing
across the lines in an order.
• Supply: Set of services that communicate with Oracle Fusion Supply Chain
Orchestration to enable more complex sourcing of items on a fulfillment line
Note: In this lesson you will observe a demonstration and complete an activity for an
orchestration process that uses many of these tasks. Additional examples of orchestration
processes are available as worked examples in the Oracle Fusion Help application and in the
Oracle Fusion Order Management guides. For an example of an orchestration process that
includes a Pause task, refer to the help topic that discusses pause tasks.

Topics
• Data Flow
• Task Types

This section discusses orchestration process definitions: what they are, and what
makes up an orchestration process definition.

Managing an Orchestration Process Definition
Step Definition Status

Conditions tab
Links to functional
groupings

The orchestration process definition is a representation of your business’ workflow to fulfill an

order. Each step of an orchestration process:
• Represents a step of your business process
• Contains a variety of information, such as dependencies, planning, and change
management
• The screenshot in the slide shows the Create Orchestration Process Definition page.
This page contains a tab to list each step of your business process and contains
groupings of information, such as steps, dependencies, planning, and change
management. Use a different tab on the same page to manage status conditions.
Navigation
1. From the Navigator, select Setup and Maintenance.
2. In the Setup and Maintenance work area, select the Order Management offering.
3. Search for the Manage Orchestration Process Definitions task. Select the task in the
Orders functional area.
4. On the Manage Orchestration Process Definitions page, click the Create icon.

Managing an Orchestration Process Definition

Step Type
Scroll for additional
step attributes
Add step
• Header: Before you can create any steps, you must enter a name in the Process Name
field and select a process class and set. A process class is a group of statuses that you
can assign to an orchestration process. A set is a group of business units, such as
orchestration processes, that are assigned to referential data.
• Step: A step of your business process. The name you enter appears everywhere in the
application, including the Order Orchestration work area. When you add a step, the new
step is added directly below the current location of the cursor.
• Step Type: Classification that indicates the usage of the step. Step type is used to
control the user interface conditional read-only behavior for some attributes. It is also
used during validation and when building the Business Process Execution Language
(BPEL) artifacts from the orchestration process definition.
- Conditional: Conditional node of the orchestration process. This is the point
where one of two or more orchestration paths is executed, based on the results of
a logical condition. You must specify a branching condition on a step that directly
follows a conditional step.
- Parallel: Parallel node of the orchestration process. This is the point where two or
more orchestration paths are executed concurrently. You don’t need to include
conditions because all paths are executed.

- Merge: Point where two or more orchestration paths reunite.
- Service: Step where you define a service. The services that appear depend on the
Task Type you select.
- Subprocess: Set of steps that are defined by your organization so that they can
be added as a unit to one or more orchestration processes. At runtime, the steps
behave as if they were added individually to the process.
• Subprocess Name: Used if the step is part of a process within the orchestration
process. A subprocess is not called at runtime. The steps of a subprocess are added to
the parent process at the time the BPEL artifacts are created. Only released subprocess
definitions are available for selection.
• Task Type: A grouping of similar business tasks, for example, shipping tasks
• Exit Criteria: The status that must be reached for the wait step to be considered
completed. After the exit criteria are met, the process can proceed to the next step.

• Manual: Indicates that a user action is required on this step.
• Wait Step: A step that pauses the orchestration process until a response is received
from another application. For example, after shipping is initiated in the Create Shipping
task, you must wait for the shipment to be sent. The wait step is Wait for Shipment. You
must build in a wait step for all task types except Schedule, Reservation, and Supply.
• Line Selection Criteria: Expression used for filtering criteria when all of the fulfillment
lines aren’t needed for the fulfillment task service invocation that is specified for the step
• Start-After Condition: Expression used to determine whether processing must pause
and if paused, must release based on runtime data or user interaction

Topics
• Data Flow
• Task Types

This section discusses dependencies between steps of an orchestration process

definition.

Dependencies Between Steps
Step Definition

Previous Step Next Step
The Dependencies options are key to setting up branching. Previous steps and next steps are
generated automatically as you add steps. The position of the cursor when a step is added
determines its position in the flow. The step is always added below the cursor. If you want a
new branch, then position the cursor on the conditional or parallel step.
Select from the following types of branching:
• Parallel branching: Allows you to create multiple sequences (branches) of
orchestration process steps that are executed at the same time. You don’t need to
include additional parameters to set up parallel branching.
• Conditional branching: Allows you to create orchestration process steps that are
executed under certain conditions. For example, your company might want to require
that if quantity is greater than or equal to 10, then reserve the quantity. That means that
this branch will have a reservation step. You could also add another condition, for
example, if customer is ZYX Corporation, then phone the company before shipping the
product. That means that this second branch will have an activity step (for phoning the
customer). The Otherwise branch is the set of steps that are executed if the conditions
of the other branches are not met. In this case, if the quantity is less than 10 and the
customer is not ZYX Corporation, then execute the steps of the Otherwise branch. You
don’t need to set an Otherwise branch.

If this parameter is not set for one of the branches and the conditions for none of the branches
apply at runtime, then a null branch is executed and all steps bounded by the branching
nodes are skipped.
Navigation

Dependencies Between Steps
Step Definition

Branching
Condition Otherwise
(branch)
Evaluation
Sequence
To create a branch, create a step and select the Parallel or Conditional step type. To create
the first step of the branch, keep your cursor on the parallel or conditional step and click the
Create Step icon. To create another branch, place your cursor on the parallel or conditional
step and click the Create Step icon. The parallel or conditional step is considered the parent
of all the branches.
Branching Condition
Criteria that must be met for steps in a conditional branch to be processed. The branching
condition is written as an If...Then statement.
Create the branching condition on the first step of the branch—that is, the first step that
follows the conditional step. Branching conditions are required on steps that follow a
Conditional step, unless the Otherwise check box is selected.

Evaluation Sequence
Order in which conditional branching conditions must be evaluated. The otherwise condition
must be the highest number. Branching conditions are evaluated in ascending order, and no
two branches can have the same number.
Otherwise
If you create a conditional branch, then you must also create a branch that is executed if the
conditions aren’t met. To create the first step of the otherwise branch, select the conditional
step and then click the Create Step icon. Create the step as you would other steps. Then
select the Otherwise check box. You don’t write a branching condition on the otherwise
branch. Set the evaluation sequence to a number higher than that on other branches. If you
don’t want any of the branches to be executed if all conditions are not met, then don’t specify
an otherwise branch but add conditions to each of the branches. A null branch is selected at
runtime if no conditions are met.

Demonstration: 16-1
Creating an Orchestration Process Definition with a Branching

Condition


Topics
• Data Flow
• Task Types

This section discusses the use of rules in orchestration process definitions.

Oracle Business Rules (OBR) in Orchestration Process
Definitions
Six attributes in process definition utilize OBR to make runtime
decisions for process behavior:
• Cost of Change: Ranks difficulty or cost in making a change to an
order
• Compensation Pattern: Overrides processing of a step during
change management
• Lead-Time Expression: Sets expected duration for a process step

to be completed for process planning calculations
• Line Selection Criteria: Filters out fulfillment lines not needed for
task service invocation specified for a step
• Branching Condition: Sets criteria that must be met for steps in a
branch to be executed
• Start-After Condition: Sets criteria that must be met both for the
Pause task to wait and to be released
Orchestration business rules affect how an orchestration process behaves at runtime. You set
up conditions for all rules in the same manner. Each type of rule has a different output, as
specified below.
• Cost of Change: Number
• Compensation Pattern: Predetermined code that specifies the override pattern
• Lead-Time Expression: Number (BigDecimal)
• Line Selection Criteria: Fulfillment line ID
• Branching Condition: Boolean TRUE or FALSE
• Start-After Condition: Optional and required parameters depending on context

Business Rules
The rules engine that is used to execute the orchestration business rules is an inference
engine. This means that although rules are executed in sequence, the output of a rule may
cause a previously executed rule to be executed again, changing the sequence. Because the
output of a rule is data-driven, it is not always possible to predict the execution sequence.
The following components are used in Oracle Business Rules:
• Rule Conditions: The IF part of the rule is composed of conditional expressions, rule
conditions that refer to facts. For example: IF Ordered Quantity < 20. The conditional
expression compares a business term (Ordered Quantity) to the number 20 using a less
than comparison. The rule condition activates the rule whenever a combination of facts
makes the conditional expression true. In some respects, the rule condition is like a
query over the available facts in the rules engine, and for every row returned from the
query the rule is activated.

• Rule Actions: The THEN part of the rule contains the actions that are executed when
the rule is executed. A rule is executed after it is activated and selected among the other
rule activations using conflict resolution mechanisms, such as priority. A rule might
perform several kinds of actions. Orchestration actions are specific to each rule attribute.
• Facts: In Oracle Business Rules, facts are the objects that rules reason on. Order
Management provides a hierarchy of facts based on the Order Management order data
for the orchestration dictionary.
• Dictionaries: A dictionary is an Oracle Business Rules container for facts, functions,
globals, bucket sets, links, decision functions, and rule sets. Many of these objects are
optional. The orchestration dictionary is embedded in the orchestration process
definition.

Demonstration: 16-2
Creating Pause Task Rules


Topics
• Data Flow
• Task Types

This section discusses validation.

Validating New or Updated Orchestration Process
Definitions
Validation of orchestration process definition occurs:
• At batch level
• Automatically when released
Errors
• Error icon appears next to the orchestration process name
• List of errors is retained until the next time the batch validation

runs
• Process definition cannot be released if it contains errors
You can run validation manually any time through the Validate action. It’s always run as part
of the Release action.
Successful validation as part of release process:
• No error messages appear if an orchestration process is valid, but warning messages
may appear.
• Orchestration process is given Released status.
• BPEL artifacts needed to deploy and run the orchestration process are created and
stored.
Note: You won’t be releasing your process until the process definition elements are
completed in a later lesson.

Topics
• Data Flow
• Task Types

This section discusses considerations for setting up orchestration process definitions for
coverage items.

Setting Up Orchestration Processes for Coverage Items
If you set up an orchestration process that processes a covered

item or a coverage item, then you can you use the same
orchestration process instance for the covered item and for the
coverage item, depending on your business requirements. If you
use different instances, then you can coordinate these instances.


Setting Up Orchestration Processes for Coverage
Items: Fulfillment Lines in Same Instance
If you use the same orchestration process instance, then:
• Define the same orchestration process assignment rule for the
covered item and coverage item. Recommended approach.
• Specify an expression in the line selection criteria.
• Example
Covered Item –
Laptop Computer

Schedule Reserve Ship Install Base Contracts Invoice
Install
Schedule Reserve Ship Contracts Invoice
Base
Coverage Item –
Warranty for Laptop
Computer
Legend
Filtered Not to Run
Using the same orchestration process instance ensures that the orchestration process uses
the same steps, in the same sequence, and at the same time for the covered item and for the
coverage item.
If you define an orchestration process assignment rule that assigns the same orchestration
process to the covered item as to the coverage item, then a single orchestration process
instance processes these fulfillment lines. Two different rules could assign an orchestration
process to these fulfillment lines. The fulfillment lines are processed together as long as the
rules assign the same process to both covered and coverage item fulfillment lines. You define
all these rules one time during setup.
Specify an expression in the Line Selection Criteria for each orchestration process step that
shouldn’t run so that the step doesn’t call the fulfillment task service.
The diagram shows an orchestration process with the following steps: Schedule, Reserve,
Ship, Install Base, Contracts, and Invoice. For the covered item, the laptop computer, you
want all these steps except for Contracts to run. For the coverage item, the warranty, you
want only the Contracts and Invoice steps to run.

Setting Up Orchestration Processes for Coverage
Items: Fulfillment Lines in Different Instances
If you need to use one orchestration process instance to process
the fulfillment line for the covered item and another orchestration
process instance to process the fulfillment line for the coverage
item, then use the pause task to coordinate the two process
instances.
Example

Covered Item –
Laptop Computer
Schedule Reserve Ship Install Base Invoice
Pause Exit
Criteria
Pause Contracts Invoice
Coverage Item –
Warranty for Laptop
Computer
The diagram above shows how you can use a pause task to coordinate different
orchestration process instances. The orchestration process steps for the covered line
(laptop computer) are: Schedule, Reserve, Ship, Install Base, and then Invoice. The
orchestration process steps for the coverage line (warranty for the laptop computer)
are: Pause, Contracts, and Invoice.
You must coordinate these two processes so that the coverage line doesn't go through
the contracts step before the covered line is shipped. You want the contract to be
created only if the shipment is successful. You can set the pause exit criteria to a
condition, such as Shipped Quantity is greater than zero.

Practices: Overview
• 16-1: Examining an Orchestration Process Definition

• 16-2: Modifying an Orchestration Process Definition
• 16-3: Creating Pause Task Rules


Summary
In this lesson, you should have learned about:

• Orchestration
• Orchestration processes
• Components of an orchestration process
• Defaulted values and required information
• Step definition

• Task selection
• Task type selection
• Step dependencies
• Branching

17
Status Management

Implementation

Order to Cash Flow
Managing Statuses
& Enrich
Order

Global
Order
Order Inventory Finance
Create, Management
Promising Bill & Collect
Configure &
Price Order
This diagram focuses on order fulfillment orchestration.

Objectives

• Create status values
• Assign status values to task types
• Designate status values for fulfillment lines
• Create an orchestration process class


Topics
• Statuses: Overview
• Statuses in Order Management
• Status Setup

A set of seeded fulfillment processes supports the order-to-cash flow. However, you can
extend these processes to meet some of their specific business functions. For example, a
certain class of OTC customers requires proof of delivery. But the seeded processes don’t
include an additional step after shipping before the order can be closed. A new status
“Customer Accepted” or “Customer Rejected” also is needed for proof of delivery. You can
extend the status framework to seed additional statuses and assign them to new or existing
tasks that are defined within the process. Additionally, they can control how the status values
are rolled up to the lines and orchestration processes.

Order to Cash Data Flow

Status
Updates
In Oracle Order Management Cloud, updates to status values are processed automatically.
Most status updates are based on task updates. The status mechanism automatically
manages the calculation and rollup of status values based on the conditions and rules
provided during setup. For example, you can configure the values you want for fulfillment line
status values based on the status of the orchestration process tasks.
Key to the Diagram
A. External order capture systems: The systems where orders originate


defined product transformation rules to transform a sales order into an transformed
order
- Order entry: Order entry user interface where users can create and submit orders
products
product configurations
- Task layer services: Execute as steps in user-defined fulfillment process
- External interface layer: Manages the communication between Order
order lines
J. Oracle Inventory and Cost Management Cloud: Module where the logistics functions
are performed
K. Oracle Financials Cloud: Module where the financial transactions are performed

Topics
• Status Setup

This section introduces statuses.

What Are Statuses?
Process Status
Order Status

Task Status
Fulfillment Line Status
Statuses convey the progress of order and process objects, including task, orchestration
process, fulfillment line, order line, and order, so that users can quickly identify problems and
intervene as necessary. Statuses are typically refreshed after Oracle Fusion Order
Management receives a response from a fulfillment system.
The screenshots in the slide show some of the different parts of the user interface where
status appears:
• Order status at the top of an order
• Fulfillment lines status on an order line
• Process status on the header of an orchestration process
• Task status on the Orchestration Plan tab of an orchestration process

Navigation
• To view the order:
1. In the Navigator, select Order Management.
2. On the Overview page, enter an order in the Search field and click the Search
icon.
3. On the Manage Orders page, click the hyperlinked order.
• To view the Orchestration Plan tab:
1. In the Navigator, select Order Management.
2. On the Overview page, enter an order in the Search field and click the Search
icon.
3. On the Manage Orders page, click the hyperlinked order.
4. On the order, open the Actions menu and select Switch to Fulfillment View.

5. On the Order page, select the Fulfillment Lines tab.
6. In the Fulfillment Lines table, click the hyperlinked orchestration process number.

Topics
• Status Setup

This section explains how statuses are assigned in Order Management.

How Statuses Are Assigned
Set during
orchestration
processing

The diagram in the slide depicts how statuses are assigned: When a response comes from
the fulfillment system, the task layer interprets the response to determine the task status for
the task, fulfillment line, and orchestration process. Based on the task status, the fulfillment
line status and orchestration process status are set automatically by evaluating the relevant
status conditions in the process definition. The line status and order status are rolled up
based on the fulfillment line status.

Topics
• Status Setup

This section discusses setup of statuses and status conditions.

Status Setup
Status setup involves two main activities:

• Creating status values: Create status codes and designate
where you want the status codes used. For example, you
might want to allow Invoiced to be used for the fulfillment line
status.
• Creating status conditions: Create If-Then conditions that

designate under what circumstances you want a status code
used. Example: If the Ship task status is Shipped, then use
Shipped as the status of the orchestration process.

Setting Up Status Values Fulfillment Line
Status Code
Task Type

Orchestration
Process Class
The screenshots in the slide show the four different tabs where you set up status values:
Status Codes
First you create status values. Later, you designate these statuses for use in fulfillment lines,
tasks, or orchestration processes. This page contains all the statuses that can be used in
Order Management.
Task Types
Designate statuses that can be used for the different task types. A task type is a grouping of
related services that carry out fulfillment tasks. The predefined task types are available by
default. Select the task type on the top of the page. At the bottom of the page, add the status
values that you want to associate with this task type. The task types that are available in
Order Management are described in the previous lesson.
Fulfillment Line Statuses
Designate statuses that can be used for fulfillment lines. Not Started is the initial status of a
fulfillment line when an order is created. Designate the circumstances under which the
statuses are assigned to fulfillment lines as part of each orchestration process definition.
These rules are called fulfillment line status conditions.

Orchestration Process Classes
An orchestration process class is a group of statuses that can be applied to an orchestration
process. When you create the orchestration process definition, you select an orchestration
process class with statuses that are suitable for the orchestration process. You also create
the actual status definitions in the orchestration process definition.
Navigation
1. In the Navigator, select Setup and Maintenance.
3. Search for the Manage Status Values task. Select the task in the Orders functional area.

Setting Up Task Status Conditions
Task Type
Display Status

Received Status
While processing an order, the tasks of the assigned orchestration process are fulfilled step
by step. A default set of sequential statuses is provided for the fulfillment tasks, but you can
also create your own fulfillment task statuses for task types that are enabled for status pass-
through. You can set display status values for any internal status, default or your own.
The screenshot above shows the three places where statuses appear on the Manage Task
Status Conditions page:
• Task type: Appears in the Type column
• Received status: Appears in the Internal Status Value column. This is the status that is
passed from an integrated application.
• Display status: Appears in the Display Status Value column. This is how the status that
is passed from an integrated application is displayed on the user interface. For example,
an integrated fulfillment application may send the status of a task as “Invoiced,” but your
company uses “Billed.” You can select “Billed” in the Display Status Value column.

Navigation
3. Search for the Manage Task Status Conditions task. Select the task in the Orders
functional area.

Process Class and Status Catalog
Process Class
Status Catalog

When you set up status conditions for orchestration processes or fulfillment lines, you go into
the orchestration process definition. When you are creating an orchestration process
definition, you must select an orchestration process class. You may also opt for a status
catalog. This screenshot shows the part of the orchestration process definition where you
select a process class and status catalog. Both are at the top of the Create Orchestration
Process Definition page.
Status Catalog
A grouping of items to which a set of the same statuses can be applied. Optionally, you can
select a status catalog when you create an orchestration process definition. You can use
catalogs and categories in multiple orchestration process definitions. Use a category to
ensure that the same set of status conditions is applied to specific sets of fulfillment lines for
an individual process. The same status conditions are applied to all fulfillment lines that have
the item that belongs to that category. Define the catalogs in Oracle Fusion Product Model,
Oracle Fusion Product and Catalog Management, or Oracle Fusion Product Hub.
Process Class
A set of status codes. You must select a process class when creating an orchestration
process definition. When you select a process class, the status codes from that class are
available for selection when you create the status conditions. These are the status codes that
represent the status of the orchestration process and are seen throughout the application.

Navigation
4. On the Manage Orchestration Process Definitions page, select an orchestration
process, and then click the Create icon.

Orchestration Process
Setting Up Status Conditions
Fulfillment Line

While processing an order, the tasks of the assigned orchestration process are fulfilled step
by step. A default set of sequential statuses is provided for the fulfillment tasks, but you can
also create your own fulfillment task statuses and sequences for an orchestration process.
You must determine the status to assign to an orchestration process at each stage of the
process. For example, if a Schedule Carpet task has a status of Unsourced, then what status
should the orchestration process have?
When you create an orchestration process definition, use the default status rule set to define
status conditions for all fulfillment lines that can be processed by the orchestration process.
Use fulfillment line-specific status conditions to apply different sets of statuses and rule logic
for different items. For example, you could have one set of status conditions for textbooks and
another set for paperback books.
The screenshot in the slide shows orchestration process statuses on the Orchestration
Process Status Values subtab and fulfillment line statuses in the Edit Status Rule Set window.

Orchestration Process Status Conditions
You can:
• Designate the statuses that represent an orchestration
process
• Select a preset group of orchestration process statuses
• Create rules that govern how statuses are attained


Fulfillment Line Status Conditions
• A status catalog provides a means to differentiate status

values by item characteristics.
• A status rule set is:
– A set of rules that govern the conditions under which status
codes are assigned to fulfillment lines
– Used to apply a set of sequential statuses to the fulfillment line
that is processed by the orchestration process

Your organization might require different fulfillment lines within the same orchestration
process to have different status progressions. For example, a model with shippable fulfillment
lines and nonshippable fulfillment lines may require different statuses for each type of
fulfillment line. A status catalog provides a means to differentiate status values by item
characteristics.
Status Rule Set
Whether or not you use status catalogs, you can use status rule sets to apply a set of
sequential statuses to the fulfillment line that is processed by the orchestration process. A
status rule set is a set of rules that govern the conditions under which status codes are
assigned to fulfillment lines. When you create a status rule set, you determine the status to
assign to a fulfillment line at each stage of the process. For example, if a task has a status of
Unsourced, then you can create a rule that is used at runtime to set the fulfillment line status
to Unscheduled. A status rule set streamlines administration by enabling you to use a rule set
with any number of fulfillment lines, rather than by entering separate rules for each fulfillment
line. You can also apply the same logic to multiple categories.

Fulfillment Line Status Conditions
• A status catalog provides a means to differentiate status

values by item characteristics.
• A status rule set is:
– Used to apply a set of sequential statuses to the fulfillment line
that is processed by the orchestration process.
– A set of rules that govern the conditions under which status
codes are assigned to fulfillment lines.

In the case where a parent and a child category refer to different status rule sets, the child
takes priority. This allows you to define an All category to handle all items in one definition, as
well as to add an additional subcategory for a subset of products that needs to use a different
status rule set.
During order processing, the application assigns an overall status to each order. This status is
determined by assigning the order the status of the fulfillment line that has progressed the
furthest in the order life cycle. To determine the fulfillment line status, the application
evaluates each of the status conditions of the fulfillment line sequentially. The true condition
with the highest sequence number determines the status of the fulfillment line. If you select
Notify External Systems, then Oracle Fusion Order Management raises an event, which an
order capture system can subscribe to.
Caution: If you used the Functional Setup Manager migration tool to move test instance data
to a production environment, then do not change the status rule set name in either instance.
Changing the name may prevent references to other data in the orchestration process from
being updated.

Demonstration
17-5: Creating a Fulfillment Line Status Condition

Instructor note: Instructor should demonstrate the above practice.

Practices: Overview
• 17-1: Creating a Status Value and Enabling It for Fulfillment

Lines
• 17-2: Creating a Status Value and Enabling It for Pass-
Through
• 17-3: Creating an Orchestration Process Class
• 17-4: Creating Status Conditions for an Orchestration Process

• 17-5: Creating a Fulfillment Line Status Condition

Practices: Overview
• 17-1: Creating a Status Value and Enabling It for Fulfillment

Lines
• 17-2: Creating a Status Value and Enabling It for Pass-
Through
• 17-3: Creating an Orchestration Process Class
• 17-4: Creating Status Conditions for an Orchestration Process

• 17-5: Creating a Fulfillment Line Status Condition

Summary
In this lesson, you should have learned how to:

• Create status values
• Assign status values to task types
• Designate status values for fulfillment lines
• Create an orchestration process class


18
Change Management and
Process Assignment

Implementation

Order-to-Cash Flow
Change Management and Process Assignment
Manage, View, Schedule Pick & Ship
Enrich Order

Global
Order
Create, Management
Promising Bill, Collect
Configure,
Price Order

Objectives

• Define order attributes that identify change
• Explain cost of change
• Define process assignment rules


Topics
• Change Management
– Compensation
– Change attributes
• Assign and Launch


Change
management
compensation

In Order Management, changes to an order are processed automatically. The application’s

change management mechanism automatically adjusts the orchestration process that is
associated with the changed order. You can configure the application to cancel steps of an
orchestration process and to redo them.
When you change some lines of an order, you don’t need to send the entire payload. You
send the change through import or service by sending only the changed lines. When lines
aren’t sent, the application interprets this to mean that the line contains no changes.
Key to the Diagram
aren’t limited to those listed here. There may be one or more external fulfillment systems
and one Oracle ERP Cloud fulfillment system.
- External
- Internal
functions are performed.

performed
Model to determine the product data for orchestration orders, provide cross-system
product cross-referencing, and provide product structure decomposition rules. (Broader
capability for product information management isn’t needed.)

product transformation rules to transform a sales order to a transformed order.
- Oracle Fusion Pricing: Module where you define and manage prices for items.
- Oracle Fusion Configurator: Module where you define and manage product
configurations.
order. Calls task layer services to carry out the steps of the orchestration process
I. Order Management work area: Used by an order entry specialist user, such as an
order manager, to monitor order lines.

Topics
– Compensation patterns

The section discusses change orders. You can make changes to an in-progress order. Order
Management Cloud provides a configurable framework that you can use to streamline the
change order flow.

How Does Change Management Work?
Global
parameters
Orchestration
process–specific
parameters

Change management concepts are discussed first, followed by how they work together to
process changes to orders.
Compensation: You can control how changes are handled by the orchestration process.
When you define an orchestration process, you can designate how changes are
compensated. Compensation refers to how the orchestration process is adjusted to respond
to the change. By default, each step is compensated by updating it with the new information
from the change order. You can override this default behavior by specifying a compensation
pattern for a particular step.
Compensation Pattern: A compensation pattern governs how a single step is compensated.
The screenshot in the slide shows global change parameters, which appear in the
orchestration process definition header. Additional change management parameters appear
in the Step Definition tab of the orchestration process definition. These change parameters
pertain to the specific orchestration process only.

Change Management Attributes on the Orchestration Process Definition
These are the change management settings that are specific to an orchestration process:
• Change mode: Change mode selection determines how often a snapshot of the
orchestration process state is taken. Options are:
- None: Change is not allowed.
- Simple: A snapshot is taken at the beginning of the orchestration process and
when a change order is received.
- Advanced: A snapshot of the state of the orchestration process is taken at each
step of the process.
- Advanced mode occupies more server space with the multiple snapshots, but
performance is optimized in this mode. Unless server space is an issue, leave
change mode set to Advanced.

• Cost of change: Cost of change is a rule that generates a value that an order capture
user can use to determine whether to submit a change order. Cost of change is visible
to the order capture system through the use of the Get Orchestration Order Service web
service. The order capture system may have some logic to prevent submission of a
change order based on a cost of change value. A cost of change rule might be written
as follows: If the fulfillment line status value is Reserved, then the cost of change is 40.
Cost of change is not viewable in Order Management. The value is not saved.
• Change attributes: For information, see slide 10.
Navigation
2. In the Setup and Maintenance work area, select Order Management.
4. On the Manage Orchestration Process Definition page, click the Create icon.
Use Transactional Item Attributes
If you select this option at the orchestration process header, then transactional item attributes
are used to determine whether compensation is needed. Transactional item attributes are
characteristics of the ordered item. In contrast, attributes in Order Management pertain to the
line. Examples of transactional item attributes are color and size. If transactional item
attributes are selected at the step level, then during compensation the attributes determine
whether a step needs compensation.
Use Flexfield Attributes
If you select this option at the orchestration process header, then extensible flexfield attributes
are used to determine whether compensation is needed. If you select flexfield attributes at the
step level, then during compensation the attributes determine whether a step needs
compensation.

Task Type
Data Object

Attribute Affected
by Change
Change Attributes
Some changes don’t require compensation. For example, a change order is sent with an updated Sold-
to Contact ID when an orchestration process is on the Ship Goods step. The changed Sold-to Contact
ID doesn’t affect the orchestration process in any way, so compensation isn’t necessary. However, you
may want to trigger compensation when a change to an attribute as significant as Inventory Item ID
arrives when the orchestration process is on a shipping task. Order attributes that identify change, also
known as change attributes, are the attributes that, if changed by order capture or an Order
Orchestration work area user, trigger compensation. You designate these attributes on the Manage
Order Attributes That Identify Change page. Some attributes are selected by default. You can’t remove
them, but you can add more.
This screenshot shows the Edit Order Attributes That Identify Change page and indicates the task type
designation, the data objects in the Orchestration Components area, and attributes affected by the
change in the Order Fulfillment Line: Attributes area.
Navigation
3. Search for the Manage Orchestration Process Definitions task. Select the task in the Orders
functional area.
4. On the Manage Order Attributes That Identify Change page, click the Create icon.

Task-specific
parameters for all
processes
Orchestration
process-specific
parameters

Additional Control of Change Processing

Change Management and Processing Constraints
Processing constraints are not part of change management, but they can influence change
management because part of their function is to prevent changes that violate the business
rules of the company. For example, you can create a processing constraint that rejects a
change to a sale item when the line is awaiting shipping. Processing constraints are
discussed in greater depth in the lesson titled “Defining Processing Constraints and Hold
Codes.”
This screenshot depicts the Edit Order Attributes That Identify Change page and
indicates that the Order Fulfillment Line: Attributes area contains both task-specific
parameters for all orchestration processes and parameters that are specific to an
orchestration process.

Compensation: Example
1. An order is placed.
2. An orchestration process is started, which contains the
following steps:
A. Create Scheduling
B. Create Reservation
C. Create Shipping

D. Wait for Shipping
E. Create Billing
F. Wait for Billing
3. If required, change management processing is triggered and
proceeds.
To see how the components of change management work together, consider the following
example:
A manager at Vision Corporation wants to buy gym bags with the company logo for her 12
employees. She wants to offer a variety of colors. She places an order at the internal
purchasing site for 12 bags. The order contains the following order lines:
• Sales Order Line 1: 4 red
• Sales Order Line 2: 4 navy blue
• Sales Order Line 3: 4 black
Each of these orchestration order lines corresponds to a fulfillment line, as follows:
• Fulfillment Line 1: 4 red
• Fulfillment Line 2: 4 navy blue
• Fulfillment Line 3: 4 black

An orchestration process is assigned to each fulfillment line. This orchestration process
contains the following steps:
1. Create Scheduling
2. Create Reservation
3. Create Shipping
4. Wait for Shipping
5. Create Billing
6. Wait for Billing
The orchestration process has the following change management settings:
• Change mode=Advanced.
• Use transactional item attributes=Yes.
• Order Attributes That Identify Change include Ordered Quantity, Demand Class Code,

and Requested Ship Date.
• Cost of change=If the fulfillment line status value is Reserved, then the cost of change is
15, which is low. If the fulfillment line status value is Shipped, then the cost of change is
100.
Within one day of placing the order, one employee resigns and another is transferred to
another division of the company. The manager phones the customer service number. She
tells the customer service representative (CSR) that she wants to change the order to fewer
bags, and she wants beige bags instead of navy blue ones. The CSR searches for the
existing order. The fulfillment lines are on the Create Shipping step.
The CSR submits the following change order:
• Sales Order Line 1: 3 red
• Sales Order Line 2: 3 beige
• Sales Order Line 3: 4 black
Change management processing is triggered and proceeds as follows:
Step 1: Processing constraints based on header attributes of the change order are
evaluated.
Processing constraints based on header attributes of the change order are evaluated,
primarily to determine whether the order is closed. This header evaluation prevents needless
processing of a closed order. These attributes were evaluated when the revision was
created, but are checked again in case the running order has had changes.
Step 2: The order is decomposed. This step is carried out only if the order was
imported.
The order is decomposed just as a new order is, at which time items are transformed and an
orchestration process is assigned to the change order.

Step 3: Change attributes and transactional item attributes are examined.
The change order is compared to the existing order to determine whether any specific
attributes were changed. The application examines the attributes that are listed on the Order
Attributes That Identify Change page. In this case, the customer changed the ordered quantity
of two lines, and Ordered Quantity is a change attribute. Therefore, compensation is
triggered.
Because the transactional item attributes option is selected, the application examines
transactional item attributes for changes when it compares the change order to the original
order. Color is one such attribute, so the change of color, alone, also would have triggered
compensation.
Step 4: Processing constraints are evaluated at the line level.
Default line processing constraints prohibit certain actions, such as updating an order line if
the fulfillment line status is Shipped. Because only one day passed since the order was

placed, the orchestration process has not been shipped yet. Therefore, the change is allowed.
Step 5: The Create Scheduling step is compensated.
Most of the steps of the orchestration process don’t have a compensation pattern, so the
default behavior, Update, is used. The Create Scheduling step is canceled and created again.
Order promising checks availability, planning is run, and the steps are assigned to new dates.
Step 6: The Create Reservation step is compensated.
The assigned orchestration process has a designated compensation pattern for the Create
Reservation step. The rule is: If DemandClassCode is not gold, then redo (cancel and create)
the step. This means that for all customers except high priority ones, supply is released and
the reservation is created again. The Create Reservation step is updated based on the new
dates. The reserved quantity is updated.
Step 7: The Create Shipping step is compensated.
The Create Shipping step is updated with the dates and new item.
Compensation ends. The orchestration process is now at the same step it was on when the
change order entered the application.
Note:After a change is triggered, the corresponding update message is sent to each of the
external systems to update the original message with the new changed order (changed
attributes). For example, assume the following:
Original inventory – quantity=5
Arrival Date=15Aug15
The change order may trigger an UpdateInventory message with new modified attributes
(example: Quantity=10, Arrival Date=18Aug15).

Demonstration: 18-1
Managing Order Attributes That Identify Change


Demonstration: 18-2
Creating a Compensation Pattern


Topics
– Compensation

The section discusses the assign and launch process. A set of seeded rules assigns the
seeded processes automatically to incoming sales orders. However, you can extend these
processes and redefine them to meet some of your specific business functions. For example,
Vision Corporation likes to keep processes extended with the proof of delivery step separated
from the seeded processes and to have an assignment rule to apply the processes for the
specific class of customers.

Orchestration
process
assignment


Managing Orchestration Process Assignment Rules
Process assignment rules are:

• Rules that are used to assign an orchestration process to a
fulfillment line or lines of an orchestration order
• Executed in the Oracle Business Rules engine
• Built based on orchestration groups and using orchestration
order attributes

You don’t need to specify versions or effectivity dates in the process assignment rules
because versions and effectivity dates are controlled at the orchestration process level.
Because assignment rules aren’t versioned, changes that are released take effect
immediately. You can save rules without releasing them.
An alternative user interface called the Visual Information Builder also is available for the
following rules:
• Pretransformation defaulting
• Process assignment
• External interface routing

Orchestration Groups
There are three types of orchestration groups:

• Shipment Set: All the fulfillment lines that belong to a
shipment set are assigned the same orchestration process.
• Model/Kit: All the fulfillment lines that belong to a model are
assigned the same orchestration process.
• Standard: Used for standard items or finished items

A fulfillment line belongs to an orchestration group.

To streamline processing, Order Management assigns fulfillment lines to predefined
orchestration groups before fulfillment.
Assign a process for each set of unique conditions. You can set up a default orchestration
process assignment rule for each orchestration group by using the Otherwise construct.
Before you create process assignment rules, you must define orchestration processes or at
least know the names you will give to orchestration processes. If you are using a decision
table, then you must create bucket sets for condition parameters but not for action
parameters.

Demonstration: 18-3
Creating an Orchestration Process Assignment Rule Using the

Visual Information Builder

Instructor should demonstrate practice 18-2.

Practices: Overview
• 18-1: Creating a Compensation Pattern

• 18-2: Creating an Orchestration Process Assignment Rule
Using the Visual Information Builder


Summary

• Define order attributes that identify change
• Explain cost of change
• Define process assignment rules


19
Orchestration Process Planning,
Deployment, and Jeopardy

Implementation

Order-to-Cash Flow
Planning, Deployment, and Jeopardy
Manage, View, Schedule Pick, Ship
Enrich Order

Global
Order
Create, Management
Configure,
Price Order

Objectives

• Define the fulfillment completion step
• Explain the difference between default lead time and
configured lead time (lead-time expression)
• Release and deploy orchestration processes
• Define jeopardy

• Manage jeopardy priorities
• Demonstrate where to see jeopardy information in the Order
Orchestration work area
• Manage jeopardy thresholds
• Define jeopardy score

Topics
• Planning
• Jeopardy
• Deployment of Orchestration Processes


Order-to-Cash Data Flow Process
planning as
tasks execute

Jeopardy
calculations
In Order Management, updates to planning and jeopardy values can be processed

automatically, or you can schedule them for processing at specific intervals. Most planning
updates occur when a task is completed. The planning service automatically manages the
calculations based on the conditions and rules you provide at setup. For example, you can
configure the lead times you want for task planning based on static values or business rules.
Key to the Diagram
- External
- Internal
functions are performed
performed


order.
- Order entry: Order entry user interface where users can create and submit orders.
products
order lines

Topics
• Planning
• Jeopardy

This section discusses planning. On-time shipments is one of the key metrics that Vision
Corporation uses to measure customer satisfaction. Process planning and jeopardy
management provide an early notification if an order possibly won’t arrive by the promise
date. They also provide alternatives to fix the problem. The result is fewer late deliveries.

What Is Planning? Planning
parameters in
process definition

Planning
default branch
In Oracle Fusion Order Management planning refers to the planning of orchestration

processes and their tasks. This planning is internal to Order Management and isn’t related to
enterprise planning applications. To plan an orchestration process the lead time of all the
tasks of the process are summed up.
Mechanisms to Run Planning
• Plan Orchestration Processes scheduled process
• Replan Instantly parameter on the orchestration process definition pages
This screenshot in the slide shows the planning parameters on the orchestration process
definition. They are listed and explained as follows:

What Is Planning?

Fulfillment
completion step
Default lead
Lead time
time Lead time
expression
UOM
Planning Default Branch

If the orchestration process has multiple conditional branches, then the step you mark as the
default branch is used for planning until one of the branches is selected during execution. The
steps in the planning default branch are the ones that will appear in the Order Orchestration
work area when the orchestration process is first assigned to a fulfillment line. If a different
branch is taken, then the process is replanned and the display adjusted to match the new
picture.
Note that in the case of parallel flow, all branches are used for process planning.
Fulfillment Completion Step
Select the step that marks completion of the task from the customer’s standpoint. The
chronological last step may not be the last step the customer cares about. For example, the
orchestration process is planned with the requested ship date as the completion date for the
step identified in the orchestration process as the last step.
Planning dates available on the order:
• Requested Ship Date
• Requested Arrival Date
• Required Fulfillment Date
This screenshot depicts the Planning group of options.

Default Lead Time/Lead Time UOM
Lead time is the expected duration for a given unit of work to be completed. If a lead-time
expression is not defined for a step, then the default lead time is used. If this field is left blank,
then it defaults to zero, and 0 is assumed during calculations.
Lead-Time Expression
Define lead times using Oracle Business Rules. This method provides flexibility when defining
complex lead-time expressions.
Next Expected Task Status
This is used for displaying the expected status transitions in the status details tab of the
orchestration plan on the Order Management work area
Navigation


Topics
• Planning
• Jeopardy

This section discusses jeopardy, which is an indicator of the delay of a task in an

orchestration process.

What Is Jeopardy?

Runtime
jeopardy indicator
• Indicates the severity of the delay of a task in an orchestration process. Jeopardy

indicators appear in the Order Management work area, so that an order manager can
quickly identify the fulfillment lines in which issues exist. The screenshot in the slide
shows the runtime jeopardy indicator on the order line.
• Is based on forward and backward planning across an orchestration process, which
calculates the accurate promise dates for each task. When one of these tasks is
delayed, jeopardy indicates how severe the delay is, based on the jeopardy settings.
• Is calculated when planning runs. You can use it on planned dates, as well as actual
dates. This means that an order manager can learn about jeopardy conditions before
they actually happen, so that the order manager can provide remedies to maintain
customer satisfaction.
• Score and priority are assigned every time the orchestration process is planned or
replanned.

What Is Jeopardy? (continued)
Navigation
1. From the Navigator, select Order Management.
2. On the Overview page, select Manage Orders from the Tasks menu.
3. On the Manage Orders page, search for order does not contain X, and click the Search
button.
4. In the Search Results table, click a hyperlinked order number.

Managing Jeopardy Priorities

Maximum
score
Minimum
Priority score
Jeopardy priority is the level of risk associated with the delay of a task. On the Order
Management work area, jeopardy priority is classified as Low, Medium, or High.
Define jeopardy priorities to specify the jeopardy score range for each priority. The priority
categories of Low, Medium, and High are predefined. You can modify the jeopardy score
range for each priority to suit your business needs, as shown in the screenshot in the slide.
You can’t add or delete priorities or rename the default priorities. The minimum of each range
must be equal to the maximum of the previous range.
The Jeopardy status of a fulfillment order line is the highest jeopardy score of any task in the
orchestration process for that fulfillment line.
Navigation
3. Search for the Manage Jeopardy Priorities task. Select the task in the Orders functional
area

Managing Jeopardy Threshold Definitions
Specificity
parameters

Use jeopardy thresholds to monitor and measure orchestration processes. Jeopardy

thresholds are ranges of time that a task is delayed. You can define a set of ranges for a task
of an orchestration process and then assign a score that indicates the severity of the delay.
When you create a jeopardy threshold, you can apply it to one or more of the following:
Process name, task name, process version, task type. If you leave the Applicability
parameters at their default setting of All, then the jeopardy threshold applies to all tasks. You
can have only one set of jeopardy thresholds that applies to all tasks.
This screenshot shows the Edit Jeopardy Thresholds page. You can have any number of
threshold ranges in the definition and ranges are contiguous. Specificity parameters function
as follows:
When an orchestration process is assigned to an order line, the process is planned taking into
account the lead time of steps in the orchestration process and certain key dates from the
sales order, such as required completion date. Each task of the process has a planned start
and completion date. The orchestration process is replanned when a task completes or when
the scheduled process runs. Jeopardy runs when planning runs, so a task can be in trouble
and still not register as in jeopardy because an event hasn’t triggered planning to run.

Managing Jeopardy Threshold Definitions

Specificity
parameters
The application searches for a threshold that applies to the highest number of entities of the task.
It searches for a threshold in the following order:
1. Process name, process version, task name, and task type
2. Process name, process version, and task name
3. Process name and task name
4. Process name, process version, and task type
5. Process name and task type
6. Task name
7. Process name and process version
8. Process name
9. Task type
First, the application searches for a threshold that applies to all four entities of the task: Task type,
task name, process name, and process version. All these entities appear in this screenshot. If a
threshold for the first combination isn’t found, then the application searches for a threshold that
applies to the process name, process version, and task name of the task, and so on. If nothing
matches, then the default is used. After an appropriate threshold is located, the score is dictated
by the threshold that is assigned to the task.

Navigation
3. Search for the Manage Jeopardy Thresholds task. Select the task in the Orders
functional area.

Demonstration: 19-1
Modifying Jeopardy Priorities


Topics
• Planning
• Jeopardy

This topic discusses deployment of a new orchestration process definition.

Releasing and Deploying the Orchestration Process
Definition

Release the orchestration process definition by selecting Release from the Actions menu.
Validation runs, and the release process stops if errors occur. You can use the messages to
determine what needs to be fixed and then try to release the process. After the process is
released, deploy the process to the associated SOA server by selecting Deploy from the
Actions menu.
This screenshot shows the Actions menu that appears at the top of the Manage Orchestration
Process Definition pages. It shows the page-level actions that are available for managing the
orchestration process definition: Validate, revise process, reject process, reject previous
version, generate process diagram, release, deploy process, obsolete process, download
generated process, regenerate orchestration process.
Navigation
Orders functional area
4. Click the Create icon.

Practices: Overview
• 19-1: Adding Planning Parameters to an Orchestration

Process Definition
• 19-2: Releasing and Deploying an Orchestration Process
Definition
• 19-3: Creating a Jeopardy Threshold Definition
• 19-4: Submitting an Order to See Runtime Planning Changes

• 19-5: Submitting a Change Order to See Runtime Changes

Summary

• Define the fulfillment completion step
• Explain the difference between default lead time and
configured lead time (lead-time expression)
• Release and deploy orchestration processes
• Define jeopardy

• Manage jeopardy priorities
• Demonstrate where to see jeopardy information in the Order
Orchestration work area
• Manage jeopardy thresholds
• Define jeopardy score

20
Processing Constraints,
Approvals, and Hold Codes

Implementation

Order-to-Cash Flow
Defining Processing Constraints and Hold Codes
& Enrich
Order

Global
Order
Create, Management
Promising Bill & Collect
Configure &
Price Order

Objectives

• Create a constraint entity
• Create a processing constraint
• Create an approval rule
• Create a hold code


Topics
• Processing Constraints
• Approvals
• Holds


Get
approval
Apply or
release hold

Validate
orders, rules
to reject Validate
change attributes
orders
Define Processing Constraints task list

• Manage Constraint Entities: Create and edit entities that constraints are applied to.
• Manage Processing Constraints: Create and edit the rules that control attempted
changes to order orchestration.
• Generate Constraint Package: Generate a dynamic package that activates newly-
defined validation rule sets for processing constraints.
Manage Hold Codes task list
• Manage Hold Codes task: Create and edit the codes that are used to hold the
processing of an order or line.
Key to the Diagram
- External

- Internal
- Oracle Financials Cloud: Module where the financial transactions are performed
C. Order Management and Planning Data Repository: Order Management processes use
data in the repository to cross-reference and validate data. Global Order Promising Cloud
uses supply and demand data refreshed into the order promising engine from the repository
when determining availability. The repository is populated by Order Management Cloud and
Global Order Promising Cloud data collection processes.
E. Oracle Fusion Trading Community Model: Order Management processes use data in the

Trading Community Model to determine the customer data for transformed orders and
provide cross-system customer data cross-referencing. (Broader capability for customer
data management isn’t needed.)
F. Oracle Business Rules (Middleware): The middleware tool that is used to define business
rules that are used during decomposition and orchestration. The rules that are defined for
decomposition are stored in the middleware layer.
- Order import: Receives single or bulk sales orders from channels and uses defined
product transformation rules to transform a sales order into an transformed order.
- Business events: Business events are raised during the fulfillment process at user-
configured trigger points.
products
- Oracle Fusion Configurator: Module where you can define and manage the product
configurations
- Orchestration: Automatically sequences the fulfillment steps for processing an order.
Calls task layer services to carry out the steps of the orchestration process.
- Task layer services: Execute as steps in user-defined fulfillment process sequences.
These services send information to downstream fulfillment systems and interpret the
responses and updates from those systems. For example, a ship order process calls
the task layer service Create Shipment request to send a shipment request to the
shipping system.
- External interface layer: Manages the communication between Order Management
and external/internal fulfillment systems. Its primary functions are routing the fulfillment
request and transforming the data.
order lines

Topics
• Approvals
• Holds

This section discusses processing constraints, which are business rules that govern who can
make changes to an order and when the changes are allowed. Order Management Cloud
provides a flexible processing constraints framework that can help to define business rules
that can prevent changes when certain business rules match the order state.

What Are Processing Constraints?
Processing constraints:
• Are rules that control attempted changes to an order
• Dictate what can be changed, when, and by whom
• Can be used to validate required attributes for fulfillment
requests (task layer services)
• Can be used to validate required attributes for order

submission
• Help you enforce your company’s business rules that pertain
to order fulfillment
Processing constraints run automatically and are invisible to users except when a change is
rejected. At runtime, processing constraints detect changes to the order, order line, and
fulfillment line. They disallow the prohibited change and return a user message that was
defined for the processing constraint.
Oracle Fusion Order Management comes with predefined processing constraints. You can
create additional ones.
Constrained operations:
• Cancel
• Create
• Delete
• Split
• Submit
• Update
• Validate

Processing Constraint Components
• Record set
• Validation rule set
• Constraint entity
• Processing constraint

Record Set
• Record Set: A group of records that are bound by some common attribute values for
the purpose of constraint evaluation. For example, you might want to evaluate all lines
on an order or all orders for customer XYZ. In the processing constraints framework,
when you define constraining conditions, you must specify a record set to be validated
for a given condition as defined by its validation template.
• Attribute: The business object characteristic that defines the set of records.
Validation Rule Set
A validation rule set names a condition and defines how to validate that condition for a
processing constraint.
Constraint Entity
A business object that a processing constraint is applied to. For example, you might want to
prohibit changes to fulfillment lines when their associated orchestration processes reach a
certain step.

Processing Constraint Components
Processing Constraint
• Role: The user role that is prohibited from making a change. For example, you might
want to prohibit order managers from making changes when the orchestration process
proceeds beyond a certain step.
• Operation: The action that is prohibited. Options: create, update, cancel, split, delete,
submit, validate.
• Condition: The test that must be passed for a constraint to be applied. For example,
you can create a condition that a constraint be applied if an order is booked.

Managing Constraint Entities
Constraint entity:
• View entity
• Process task entity

Constraint Entity: Business object that a processing constraint is applied to. Types of
constraint entities:
View Entity
• Order header, order line, and fulfillment lines that contain a group of related attributes
that correspond to a table.
• Predefined view entities are provided. You can’t create new view entities.
• Additional attributes, such as flexfields, can be enabled within an existing view entity.
Process Task Entity
• Is based on a combination of orchestration process, task, and service
• Represents the position of the transaction in the flow
• Prohibits actions, such as the update of attributes or deletion of table entities, at some
point in an orchestration process
• Validates required attributes for fulfillment requests, such as Create Shipment request,
Update Shipment request, and Create Reservation request

Predefined process task entities are provided. You can create additional process task entities
to suit your business requirements.
A process task entity can be the combination of an orchestration process, a task, and a
service. For example, a new process task entity is defined for the Update Shipping task layer
service. It’s named OrderOnlyProcess. It’s defined as:
• Orchestration Process=OrderOnlyProcess
• Task=Shipping
• Service=UpdateShipment
When you define a constraint using this combination, a check is made for that constraint only
if the process name and task match during order processing.

Demonstration: 20-1
Creating a Constraint Entity


Demonstration: 20-2
Enabling Additional Attributes for a View Entity


Managing Processing Constraints
1. Create a record set using a constraint entity that is predefined.

2. Create one or more validation rule sets.
3. Create a processing constraint.

For a table-type validation rule set, you must then generate the constraint package.
Creating a Processing Constraint
Optionally, you can create a new constraint entity to use in your processing constraint. If you
want to create a constraint on an orchestration process, then create a process task entity.
Otherwise, you can use one of the existing view entities. In this case, you don’t need to create
an entity.

Topics
• Approvals
• Holds

This section discusses approvals, which are business rules that govern when an approval is
needed.

Approvals
Require approvals for orders that meet specific criteria.

You can configure your order process to subject orders to approval before they are
finalized. You can write approval rules that fit your organization’s needs. For example,
you might want orders that exceed $50,000 to be reviewed and approved by a
supervisor before they are booked. Alternatively, you might want to have a supervisor
review any order in which an order entry specialist manually adjusts the price.
This screenshot a confirmation message superimposed on the Create Order page. The
confirmation message indicates that the order may require approval and that fulfillment
will begin after the order is approved.

High-Level Approval Flow
User Worklist &
Notifications
Oracle Fusion Order Management

Approvals
Management
Extensions
Y Invoke Assign,
Y
Invoke Valida- Human Monitor &
Create Validation Approval
Task Complete
Order Submit tions Success Required Approval
Flow

Flow
N N
Updates
Present
Messages Complete
Order
Submission
Act on the
Messages
Order administrators write rules using attributes from the order. If the system parameter
Start Approval Process for Sales Orders is set to Yes, then the rules are triggered
automatically when the conditions of the rule are met. You can set this parameter at the
level of the source system, which is the system where the order originates. It could be
Order Management Cloud if orders are created using the Order Management Create
Order page. Alternatively, the source system could be CPQ, in which case the order is
imported from CPQ to Order Management Cloud. If you want approvals to run for
orders created in Order Management Cloud only, then set the parameter to Yes for
Order Management Cloud, and set the parameter to No for CPQ.
The order entry specialist doesn’t need to do anything to initiate approval of the order.
When an order is flagged for approval by the conditions in the rule, it’s automatically
sent to the approver. The order entry specialist receives a confirmation message stating
that the order is being verified. The order is locked until it is approved. Order entry
specialists can view the approval history and can revert the order back to draft.
Approval history is preserved and can be viewed from Order Management.

This diagram depicts the approval flow. The following actions are listed in the order in
which they occur: Create order, invoke submit, validations, approval required. These
actions occur in Order Management. The following tasks occur next. They occur in
Approvals Management Extensions: Invoke human task flow, and assign, monitor and
complete approval flow. The order submission is completed in Order Management.

Approvals
To enable and set up rules:

1.Set up the Order Management parameter “Start Approval
Process for Sales Orders.”
2.Create an approval rule.


Demonstration: 20-3
Creating an Approval Rule for Orders Exceeding $1000


Topics
• Approvals
• Holds

This section discusses holds. An order might be placed on hold for a variety of reasons. For
example, you might hold an order until a customer address or payment method can be
verified, or you might hold an order from interfacing into a specific warehouse for shipping if
there is an emergency closedown. Use the Holds framework to define both generic holds and
task-specific holds.

Holds
Runtime hold
indicator

Holds prevent an orchestration process from proceeding.

Applying and Releasing Holds
• Holds can be applied at order, order line, and fulfillment line.
• Holds that were applied in the order capture system are visible in Order Management,
but they must be released in order capture. Applying and releasing holds from order
capture is enabled through a service interface.
Processing Holds
• Models and shipment sets are treated as a single unit, and the hold is applied at all
levels.
• Hold can be applied on the current running task (step) or can hold the scheduled future
tasks.
The screenshot in the slide shows a hold icon next to an order on the Manage Orders
page. The hold indicator is in the Exception Type column.

Navigation
1. From the Navigator, select Order Management.
2. On the Overview page, select Manage Orders from the Tasks menu.
3. On the Manage Orders page, search for order does not contain X, and then click the
Search button.

Setting Up Hold Codes
• Define date-enabled hold codes.

• Assign a set. Sets can be referenced by business units.
• You can make holds general, or you can make them task-
specific and service-specific.
• Hold release reasons: Define hold release reasons on the
Manage Standard Lookups page. Search for the lookup code

DOO_HLD_RELEASE_REASON.
Hold codes are used to hold processing. Holds are role-based and set-enabled, meaning you
can limit holds to users with certain roles and by the business unit they belong to.
A set provides a way to organize business units and control the business units that can
access a hold code.

Demonstration: 20-4
Creating a Hold Code


Demonstration: 20-5
Creating a Hold Release Reason


Practices: Overview
• 20-1: Creating a Processing Constraint

• 20-2: Creating a Revision with Constraint
• 20-3: Creating an Approval Rule for Orders Exceeding $5000


Summary

• Create a constraint entity
• Create a processing constraint
• Create a hold code


21
External Integration

Part 7: Integration
Implementation

Order-to-Cash Flow
Managing External Interfaces
Manage, View, Schedule Pick, Ship
Enrich Order

Global
Order
Create, Management
Configure,
Price Order

Objectives

• Register connector information
• Use Oracle Integration Cloud Service to create a business
flow
• Create external interface routing rules
• Associate business event trigger points

• Explain integration with Oracle Fusion Order Management

Topics
• Web Service Registration

• Oracle Integration Cloud Service
• External Interface Routing Rules
• Business Event Notification
• Fulfillment Order Task Layer

Vision Corporation has acquired multiple systems through acquisitions over several years.
Some of the key primary goals are to provide the ability to manage centrally the distributed
nature of its fulfillment systems and to provide a single consistent view of order status and
consistent fulfillment process. An order can contain multiple lines, with each line sourced and
fulfilled from a different system. The external interface layer is a framework that helps to route
the fulfillment requests to different systems and is decoupled from the fulfillment processes.
The routing mechanism enables status updates and normalization from fulfillment systems to
ensure a consistent status response to customers.

Order-to-Cash Data Flow Integration
with fulfillment
systems
Integration
with channel
systems

In addition to the built-in order entry capability, Oracle Order Management Cloud can be
integrated on the front end with one or more order capture systems and on the back end with
one or more fulfillment systems. The external interface layer contains the services and rules
that route requests from Order Management Cloud to the correct fulfillment systems and
conveys messages back from those systems. The external interface layer uses an extensible
SOA-enabled framework to manage communication between Order Management Cloud and
external fulfillment systems and transforms the requests from those systems. The external
interface layer makes it possible to “plug and play” external systems by abstracting them from
the orchestration process definition to minimize changes that are required when you add new
fulfillment systems.
The following tasks involve setup of the external interface layer:
• Manage Integration with Oracle Fusion Order Management
• Manage External Interface Transformation Style Sheets
• Manage External Interface Web Service Details
• Manage External Interface Routing Rules

The Manage External Interface Transformation Style Sheets are required only for systems
other than Oracle Fusion. Perform setup in Oracle JDeveloper or in a third-party extensible
stylesheet language transformation (XSLT) editor.
The setup steps for integrating systems that are not Oracle Fusion with Order Management
Cloud are as follows:
1. Ask your IT department to create a connector service.
2. If transformation is needed, then ask your IT department to create an XSLT
transformation file.
3. Ask your IT department to deploy the connector service.
4. Register the connector service on the Manage Web Service Details page.
5. Create routing rules.

Key to the Diagram
- External
- Internal
performed

order
products

order lines

Topics


This section discusses where to register the web services used to integrate applications
with Order Management Cloud.

Managing Integration with Oracle Fusion Order
Management
This task involves creating and deploying connectors and other
artifacts that:
• Transform messages
• Communicate with external systems (additional setup not
required for Oracle Fusion systems)

Web services are used to integrate external applications with Oracle Fusion Order
Management. Order Management has a web service broker that routes requests from the
fulfillment task layer to one or more fulfillment systems and vice versa. You need to create,
deploy, and register a connector for each integrated external system that supports the
enterprise business objects and associated operations.
Ask your IT department to create and deploy a connector service. If transformation is needed,
then ask your IT department to create an XSLT transformation file.

Managing External Interface Web Service Details
• After you create and deploy the connectors, register them on

the Manage Connector Details page.
• Provide:
– Connector name
– Connector description
– URL

– Username
– Password
After you create and deploy the connectors, register them on the Manage Web Service
Details page.
Provide:
• Connector Name: Name of the service
• Connector Description: Description of the connector name
• URL: Physical location (endpoint) of the service
• Username: Name used to log in to the external system
• Password: Used to log in to the external system
The password value is protected and is not displayed to the user. The username and
password are passed into a credential store, and a user credential key and keystore recipient
alias are generated automatically.

Keystore Recipient Alias: Oracle recommends that you configure servers that are running
external web services that must be invoked to advertise the security certificate in the WSDL.
The default setting in Oracle WebLogic Server is to advertise the security certificates. Check
whether your servers support this feature. If so, then enable the feature. If you can’t set up the
server this way, then use the keystore recipient alias. Ask the service provider for the security
certificate. An IT administrator imports the target server security certificate into the invoking
server and provides a reference, which is called a keystore recipient alias. Register this
keystore recipient alias on the Manage Connector Details page against the records created
for that system. This key applies to all services offered by the target system. For additional
information, please refer to white papers or technical documentation.
Note: Some of the information for these parameters may have to be provided by your IT
department.

Topics


This section discusses Oracle Integration Cloud Service, an interface that can help
streamline integration.

Oracle Integration Cloud Service
Platform that enables integration between Oracle Cloud

applications and external applications using services and business
events exposed by Oracle Cloud applications. New services and
events:
• OrderInformationService
• OrderStatusUpdated event
• SalesOrderNotification event

• OrderFulfillmentResponseService
The drag-and-drop interface streamlines integration and makes it easier for less technical
personnel to create business flows.
You can integrate any number of channel systems to Order Management.
You can also set up email notification based on order status events.
• OrderInformationService
• Creates business flows using intuitive drag-and-drop interface.
• Creates a flow to fetch complete details about an order.
• Determines whether an order can be changed before accepting the change.
• OrderStatusUpdated event
• Creates subscriptions to receive business event notifications from Order Management.
• Deploys a single web service to receive notifications for header and line status changes.
• Informs a subscriber about a significant development on a sales order.
• Occurs when the order status changes, the line status changes, the value of an attribute
changes, a fulfillment line splits, or an exception occurs, such as a jeopardy or hold.
• OrderFulfillmentResponseService
• Receives the acknowledgement and the response to an order fulfillment request from a
fulfillment system.

Oracle Integration Cloud Service
• OrderFulfillmentResponse service

The drag-and-drop interface streamlines integration and makes it easier for less
technical personnel to create business flows.
You can integrate any number of channel systems to Order Management.
You can also set up email notification based on order status events.

Topics


This section discusses the rules that route rules to external integrated applications.

Manage External Interface Routing Rules
Integration with Oracle Fusion Applications

• No additional setup when integrating with only Oracle Fusion
applications:
– Web service details seeded for Oracle Fusion connectors
– Seeded rules to route fulfillment requests to Oracle Fusion
connectors.

• You can use order, fulfillment line, and process definition
attributes to select the fulfillment system connectors for
integrations that have a mix of Oracle Fusion applications and
external applications.

Manage External Interface Routing Rules
• Create rules to route fulfillment requests to appropriate

connectors to fulfillment systems that are not a part of Oracle
Fusion.
• You can use order, fulfillment line, and process definition
attributes to select the fulfillment system connectors.
• Use the same name in the selection rule as the one you use

when you register the system.
• Create and update these rules on the Manage External
Interface Routing Rules page.
Note: The rules are executed in Oracle Business Rules
engine.
Examples of Routing Rules

• Task Type Determines Routing of Request: You want orders that are ready to be
shipped to go to the shipping fulfillment system. You write an external interface routing
rule that requires that if the task type code of an order is Shipment, then route the
request to the ABCShippingSystem connector.
• Customer Attribute Determines Routing of Request: Your company has two
invoicing systems. When it is time to send out an invoice, you want Widget Company
always to be invoiced by system ABC. You write an external interface routing rule that
requires that if the customer is Widget Company and the task type code is Invoice, then
route the request to ABCInvoicingSystem.

Topics


This section discusses what business event notifications are and how you can use
them.

Business Event Notification
• One-way notification
Order
from Order Management
Management to Cloud
interested
subscribers
Event notification
• Notification sent
when a change

occurs that is
significant to the
subscriber system
• Notification criteria Order Inventory Shipping
you can define using Channel
a setup task Systems
Web services are used for both upstream (for example, order channel) and downstream (for
example, fulfillment system) integrations with Order Management. However, Order
Management uses another pattern of integration that broadcasts events that interest the
systems involved in the order-to-cash flow. Order Management has a predefined set of
business events that represent significant occurrences in the context of the business process.
You determine whether these occurrences are important in the context of your functional and
business requirements.
This diagram depicts Order Management Cloud sending event notifications to order channel
systems, to Inventory, and to Shipping.

Business Event Notification
• Use the Manage Business Event Trigger Points setup task.

• You can:
– Choose the right set of events to be raised at runtime from a
preset list.
– Define very specific criteria for some of the events.
– Associate appropriate connectors that you already set up by

using the Manage External Interface Web Service Details task.
• Configure setup details, which at runtime are used to
determine:
– Whether to raise an event
– Which connectors to notify when event is raised
Manage Business Event Trigger Points is the name of the task and page where the
predefined business events appear. The set of business events is:
• Change Order Compensation Complete: Informs the subscribing application that
change order processing is completed. If a change order results in an error, then this
event reports the error.
• Fulfillment Line Status Update: Allows you to specify which of the fulfillment line
status values you are interested in on the Edit Status Rule Set page, which is part of the
Manage Orchestration Process Definitions task. Select the Notify External System check
box next to the value that you want a fulfillment line to achieve to raise an event.
• Fulfillment Line Closed: Informs the subscribing application that a fulfillment line was
closed. Systems such as Cost Management can use this information to perform
downstream processing on the fulfillment line.
• Hold: Notifies the subscribing application that a hold was applied at the order or line
level. An order manager or order entry specialist can apply a hold, or the order capture
or channel system can request a hold.

• Jeopardy: Allows you to specify the jeopardy priority values (high, medium, and low)
that you want this event to be raised for. When process planning determines a change in
jeopardy priority value such that the new value is enabled, this event is raised.
• Order Attribute Update: Allows you to determine whether changes to specific
fulfillment line attributes and fulfillment line details attributes, including extended flexfield
segments are of interest to any of the systems, especially your order capture system.
You can choose these attributes from among a set of attributes exposed in this task.
During order progression, if one or more of the chosen attributes experiences a change,
then Order Management raises an event.
• Order Header Status Update: Informs the subscribing application when an order is
canceled, partially closed, or closed. Set the status value that you want to trigger the
event.
• Split: Notifies the subscribing application that a fulfillment line was split due to a partial

shipment or by an integrated application.
For each of these events, you must associate the connectors that you have created as part of
the Manage External Interface Web Service Details task using the Manage Connector Details
page. Recall that you have specified the endpoint URL of the web service to be invoked and
security credentials on that page. During the execution of the order fulfillment process in
Order Management, the conditions for each of the events mentioned here are monitored. As
determined by this setup, when it is appropriate for an event to be raised, Order Management
sends a notification to the endpoint URL for each connector that you have associated with the
event trigger point in question. As an example, if you have checked the “Notify External
System” check box for the status value “Shipped,” whenever a fulfillment line status is set to
Shipped, the endpoint URL of the connectors associated with the Fulfillment Line Status
Update event will be invoked.

Topics


This section discusses the Fulfillment Order task layer, which is a set of services that
enable integration between Oracle Fusion Order Management and an enterprise
resource planning (ERP) system.

Fulfill Order Task Layer Integration
• Set of services that enable integration between Oracle Fusion

Order Management and an ERP system.
– Multiple fulfillment actions through a single request, for
example, schedule, reserve, and ship.
• Additional parameters available for integration to support
aggregation
– resultObj:50, resultObjKey:“AGGREGATOR_MAX_FLINE”

– resultObj:5, resultObjKey:“AGGREGATOR_WAIT_TIME”
– resultObj:“SDO”, resultObjKey:“InterfaceType”
AGGREGATOR_MAX_FLINE: The number of fulfillment lines to wait for before aggregating

and sending the request
AGGREGATOR_WAIT_TIME: The delay allowed before aggregating and sending the
request
InterfaceType: Allows backward compatibility for upgrade. Allowable values are SDO and
EBM. Default (recommended) is SDO. You can use EBM with all pre-existing task layers, if
existing integration is not refactored after upgrade.

Practices: Overview
• 21-1: Registering Connectors

• 21-2: Setting Up Jeopardy Business Event for Channel
System
• 21-3: Creating External Interface Routing Rules in Visual
Information Builder


Summary

• Register connector information
• Use Oracle Integration Cloud Service to create a business
flow
• Create external interface routing rules
• Associate business event trigger points

• Explain integration with Oracle Fusion Order Management

22
Extending Order Management

Part 8: Extensibility

Order Management and Fulfillment Cloud Implementation

Objectives

• Explain the benefit of integrating Order Management with Oracle Receivables
• Name some actions Order Management extensions can perform to meet specific
business needs
• Explain how to use Page Composer to modify the user interface.
• Give a high-level explanation of how to set up extensible flexfields


Topics
• Extending Integration with Oracle Fusion Receivables

• Order Management Extensions
• Page Composer
• Extensible Flexfields

This lesson discusses extending Order Management. This lesson provides an overview of
what you can do to extend Oracle Management and the tools you’ll need. However, we aren’t
providing detailed procedures here. See the Oracle Help Center for details on how to set up
extensions.

Topics

• Page Composer

This section discusses integration with Oracle Fusion Receivables.

Extending Integration with Oracle Fusion Receivables
• Integrate Receivables with Order Management to send details from an upstream source
system to a downstream billing system.
• Send data from an attribute or extensible flexfield in Order Management to a descriptive
flexfield or interface column in Receivables.

Integration with Oracle Fusion Receivables is ready to use. You can also extend integration with
Receivables to meet your company’s requirements.
Send data from an attribute or extensible flexfield in Order Management to a descriptive flexfield or
interface column in Receivables.
An extensible flexfield is an attribute that you can add to your deployment to meet your business
needs. We discuss extensible flexfields in more detail later in this lesson.

Extending Integration with Oracle Fusion Receivables: Example Use
Cases
• Map the fulfillment line attribute named Purchase Order Line Number in Order
Management (CUSTOMER_PO_LINE_NUMBER) to a descriptive flexfield with the
context “Invoice Line Level” and the segment “PO” in Receivables.
• Pass the data from Contract Start Date and Contract End Date in Order Management to
Rule Start Date and Rule End Date in Receivables.


Integration with Oracle Fusion Receivables: High-Level Steps
• Summary of the work

1. Get values that identify the descriptive flexfield or extensible flexfield.
2. Modify the service mapping.
3. Create an integration algorithm, if you are working with extensible flexfields.
• Use the Manage Service Mappings page to map the attributes or extensible flexfields to
descriptive flexfields or interface columns.
• Use Manage Algorithms to include additional logic or mapping information from a
different level, for example:

– From order header to invoice interface line
– From extensible flexfields to interface line
Algorithms use Groovy script.

For details on how to perform the mappings, see Oracle Help Center or the infrastructure release
training.

Topics

• Page Composer

This section discusses the use of extensions with Order Management.

Using Extensions with Order Management
Order management extensions

• Groovy script that runs at an extension point during order creation.
• Used to modify the behavior of the order submission process by adding logic for
defaulting of attributes, or validation of a business rule.

An extension point is an event that you can specify that starts the extension.
Note that you can use a flexfield to modify the data model and Page Composer to modify the
user interface, but only Order Management extensions can modify the implementation of Order
Management.
Use the Manage Extensions page in the Setup and Maintenance work area to write Groovy
script.

Using Extensions with Order Management: What Extensions Can Do
You can use order management extensions to:

• Get data in the following ways:
– Use the getAttr method to get data from Order Management.
– Use a public view object (PVO) to access data from some other Oracle Fusion
product.
– Use a web service to get data from a source that resides outside of Order
Management Cloud.
• Implement your logic: For example, your code can validate a sales order. If validation
fails, then your code can also stop the flow and create a message.

• Raise messages: Use an extension to raise an error message or warning.
• Set the default value for sales order attributes or extensible flexfields: Write your own
logic that sets default values.
A public view object is a data object that Order Management gets from some other Oracle
Fusion solution. For example, you can use a public view object to look up an item category in
Oracle Fusion Product Information Management or a purchase order in Oracle Fusion
Purchasing.

Using Extensions with Order Management: Flow and Extension
Points
Submit Sales
Order

Extension points where you can run an order management extension.

Explanation of flow:
1. Something occurs that triggers the On Save event. An Order Entry Specialist performs an action in
Order Management that causes one of the following implicit saves to occur:
• Validate
• Save
• Save and Close
• Validate
• Reprice
• Submit
• Copy Order
• Create Revision
• Create Return
Order Management Cloud imports a source order from a source system and then processes it, such
as creating cross-references, defaulting values, and so on.
2. You can create an extension that runs on the On Save event.
3. You can create an extension that runs on the On Start of Submission Request extension point. If
the extension results in failure, then Order Management sets the sales order status to Draft, with
errors.

Using Extensions with Order Management: Flow and Extension Points
(continued)
4. Order Management processes the submission request, including running validations,
performing a credit check, communicating with Global Trade Management, and so on.
5. You can create an extension that runs on the On End of Submission Request extension
point. If the extension results in:
• Failure. Then, Order Management sets the sales order status to Draft, with errors.
• Warning. Then, Order Management displays a warning message, successfully
submits the sales order, and continues to process it through order fulfillment. The
Order Entry Specialist can examine the warning messages on the submitted order.
6. The fulfillment system fulfills the sales order, including shipping, invoicing, and so on. You
can’t run an extension during order fulfillment.

Topics

• Page Composer

This section discusses what Page Composer is and how you can use it to modify UI pages.

Page Composer
Oracle Page Composer is a page editor for revising the layout and content of application
pages.
Use Oracle Page Composer to modify pages in a sandbox while you are working in the
application. You can make your UI modifications available to all users or to a subset of
users, for example, only to partners or to users with a specific job role.
In the applications mentioned in this course, you can use Page Composer, to:
• Edit elements in the user interface, such as show and hide fields, change field labels, and
designate fields read-only or required

• Create default saved searches (also called saved lists)
• Configure the default display of search results in tables
The full capabilities of Page Composer are described in the Oracle Fusion Middleware User's
Guide for Oracle WebCenter and in the Oracle Fusion Applications Extensibility Guide. You
can also see Oracle Help Center for additional information.

Topics
• Extending Integration with Downstream Oracle Fusion Receivables

• Page Composer

The section discusses how you can extend Order Management with extensible flexfields.

Extensible Flexfields
• Attribute you define for your business needs.

• After you’ve defined an extensible flexfield, you can capture data and act upon it. For
example, the data can drive process automation, be sent and received as part of
communications with other systems, and provide criteria for input into complex business
rules.


Extensible Flexfields: Example Use Case
Capture customer loyalty information. Use the information to determine whether the
customer qualifies for a discount.


Extensible Flexfields: Uses of Flexfields
Functional Area Usage of Data from an Extensible Flexfield

Integration with Customer Order Capture Using an extensible flexfield, capture order data from one or more disparate order capture
Systems systems
Order Defaulting and Transformation Write rules that add data from an extensible flexfield to, delete unnecessary data from, or
change data on an order
Orchestration Process Assignment Make data from an extensible flexfield a selection criterion for determining which
orchestration process to assign to an order
Orchestration Process Execution Write rule-based branching conditions and task layer filter conditions that use data from
an extensible flexfield into orchestration processes. Calculate lead times in process
planning based on data from an extensible flexfield
External Interface Routing Rules Write rules that determine which order lines are sent to which fulfillment system according
to data from an extensible flexfield

Integration with Customer Order Fulfillment Pass extensible flexfield data to one or more disparate fulfillment systems, and configure
System(s) fulfillment systems to send updated data to Order Management
Change Management Use extensible flexfields as input to calculate the cost of changes and to select
compensation patterns when change orders are received
Order Search Search for orders by extensible flexfield data
Integration with Receivables Pass data from an extensible flexfield to Receivables
Columns of the table on this slide: Functional Area, Usage of Data from an Extensible
Flexfield.

Extensible Flexfields: Setup
For details on how to set up extensible flexfields, see article 2051639.1 in My Oracle
Support.


Summary

• Explain the benefit of extending integration Order Management with Oracle Fusion
Receivables
• Name some actions Order Management extensions can perform to meet specific
business needs
• Explain how to use Page Composer to modify the user interface
• Give a high-level explanation of how to set up extensible flexfields


23
Overview of Shipping

Part 9: Shipping
Implementation

Order-to-Cash Flow
Pick and Ship
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure &
Price Order
This diagram focuses on product shipment.

Objectives

• Describe the shipping process flow
• Explain the various activities performed when processing a
shipment
• Describe how Order Management and Oracle Fusion
Inventory Management support the shipping process


Topics
• Shipping Process Flow

• Pick Release Process Flow
• Ship Confirm Process Flow


Topics


This section discusses the shipping process flow.

Shipping Process Flow
Manage & Pick

Release Pick Loads
Reserve Waves Process & Confirm
Inventory Shipments

Order Inventory
Shipping Finance
Management Management
Process Create &
Sales Orders Process Bill
This diagram illustrates the shipping process flow. These are the high-level steps:
1. Reserve inventory.
2. Manage and release pick waves.
3. Pick loads.
4. Process and confirm shipments.

Shipping Process Flow and User Roles
Warehouse Order Fulfillment,

Process Sales Reserve Manage and
Manager Order Inventory Release Pick Waves
Warehouse Pick Loads

Operator

Communicate Shipping Order Fulfillment,
Messages and Updates Process Bills
with Trading Partners Receivable
Shipping Process and
Agent Confirm
Shipments
Capture Shipping Financial Control
and Reporting,
Costs and Cost to
Record Cost
Charge
Accounting
The shipping process flow is initiated with a sales order that is generated from Order
Management. A reservation is then created, designating the material for a specific sales
order. A reservation protects inventory by preventing the material from being used by other
demand sources. The Warehouse Manager:
• Monitors and releases sales orders for picking in the warehouse
• Generates pick slips for picking material for outbound material movement
• Creates pick waves by using a variety of criteria leading to more efficient warehouse
operations
The Warehouse Operator monitors and performs the picking activity. The Pick Loads activity
includes picking outbound, replenishment, and requisition pick slip types. The Warehouse
Operator can easily search for a pick slip and confirm the pick slip in a single action. The
Warehouse Manager can generate and distribute pick slip reports to provide instructions to
Warehouse Operators on material movement.

The Shipping Agent can:
• Process and confirm outbound shipments including packing, creating shipments, and
resolving exceptions
• Generate outbound shipping documentation, such as the carrier bill of lading upon ship
confirmation
• Communicate shipping messages and updates to trading partners. Shipping messages
include the contents or a shipment, shipment status, shipment arrival details, and
shipment requests. Communicating shipping messages and updates with trading
partners provides the ability to integrate with external systems.
• Manage pending transactions and transactions with processing errors from external
systems through a spreadsheet interface using ADFdi technology. The Manage
Shipment Transactions Corrections in Spreadsheet task allows you to review and edit
the interface transactions and the corresponding errors related to the shipping

transactions received from external systems or otherwise through open interfaces.
• Capture all shipping costs that are associated with a shipment and assign them to a
shipment, shipment line, or packing unit
The final process in the flow is to pass shipping information to order fulfillment and cost
management for further downstream processing.
Shipping Process Flow: Activities
• Pick Loads: Monitor picking activity for outbound, replenishment, and requisition pick
slips. Generate and distribute related pick slip reports to provide instructions on material
movement.
• Process and Confirm Shipments: Manage all delivery processing for outbound
shipments, including packing, delivery creation, exceptions, confirmation and end-of-day
activities. Generate outbound shipping documentation.
• Capture Shipping Costs: Capture all shipping costs that are associated with a
shipment. Assign costs to a shipment, shipment line, or packing unit.
• Communication Shipping Messages and Updates with Trading Partners:
Communicate messages to trading partners related to shipment contents, requests for
shipment, and status of shipment requests. Efficiently support and automate the
outsourcing of your logistics operations.

Topics


This section discusses the pick release process flow.

Pick Release Process Flow
Movement
Requests
Enter Order Movement

Transactions
Allocate Inventory
• Automatically

• Manually
Inventory Reservation
Pick Slips
Source Subinventory
Pick Confirm Location Transfer
• Automatically
• Manually
Staging
The pick release process begins with a pre-approved movement request that is automatically
created in Inventory Management. A movement request represents a request to transfer
material from a source (stocking) subinventory to a destination (staging) subinventory.
Movement requests are created for sales orders that are awaiting shipping. The destination
subinventory is the staging subinventory entered in Order Management or defaulted from the
Manage Shipping Parameters user interface. Only one staging subinventory is allowed per
pick wave.
Allocate Inventory to Movement Request
If you select the Autoconfirm Pick check box on the Create Pick Wave page, then inventory is
allocated automatically after the movement request. Alternatively, you can postpone allocation
until later and then manually allocate inventory from the Confirm Pick Slip page. Shipping
uses the Release Sequence Rule that you entered on the Pick Wave page or that is defaulted
from the Shipping Parameters to determine the sequence to fulfill the movement request.
Movement requests use inventory picking rules to determine how to allocate the material.
Shipping defaults the sourcing values for subinventory, locator, revision, lot, and serial
number onto the movement request. You can update the source defaults manually from the
Confirm Pick Slip user interface.

Allocating inventory is a prerequisite for printing pick slips. Shipping uses the Pick Slip
Grouping Rule that was entered on the pick wave or defaulted from the Shipping Parameters
while printing pick slips.
Pick Confirm Movement Request
If you select the Autoconfirm Picks check box on the Create Pick Waves page, or deselect the
Pick Confirmation Required check box on the Inventory Organization Parameters page, then
pick confirm is performed automatically during the picking process. If it is not done
automatically during Pick Release, then you can manually pick confirm on the Confirm Pick
Slip page. The Pick Confirm transaction executes the subinventory transfer by moving the
material from the source location to the destination staging location.

Integrating with an External Manufacturing System
You can integrate your Oracle Cloud system with an external

system, such as a third-party logistics system, warehouse
manufacturing system, or contract manufacturer. Take
advantage of the following integration capabilities:
• Transmit receipt advices for inbound material
• Accept receipt confirmations for material received

• Transmit shipment requests for fulfilling demand
• Accept shipment confirmations for material shipped
• Accept inventory balance details
Specifically, you can:

• Accept inventory balances coming through a new REST service called
inventoryBalanceTransactions.
• Import inventory balances in bulk using SAAS spreadsheet.
• Review and resolve any processing exceptions using the new desktop integration
spreadsheet.
• Purge these balance messages periodically to free up space.
All these capabilities are automatically available and require no additional setup. They are
available to the Warehouse Manager, Receiving and Inspection Manager, Shipping Manager
job roles.

Topics


This section discusses the ship confirm process flow.

Ship Confirm Process Flow
Ship Confirm
Shipment
Ship * Backorder Stage Cycle

Count
Inventory Requires Leave

Re-Pick Staged Backorder

Cost of Inventory Transfer
Goods Sold Activities Reservation
To Cycle
Count
Issue from Remove Decrement
stores Reservations Inventory
* Reservations removed
A shipment is composed of a set of shipment lines, grouped by certain common shipping

attributes, that are scheduled to be shipped to a customer's ship-to location on a specific date
and time. The ship confirm process involves marking the shipment as confirmed, meaning
that all lines in the shipment are loaded for shipping to the customer's ship-to location. The
ship confirm process involves selecting the shipment on the Manage Shipments page or the
Edit Shipment page and selecting the Ship Confirm option. However, you must select a ship
confirm rule or specify ship confirm options, as well as resolve all shipping error exceptions,
before you can ship confirm the selected shipment. You must also record lot and serial
numbers for items that have that requirement. You can perform a ship confirm on shipments
only when the associated shipment lines are pick confirmed. Ship confirm can also result in
shipment lines being shipped, backordered, staged, or cycle counted. The ship confirm
activity is completed when the quantity picked is recorded as Shipped.
After the lines are ship confirmed, shipment advice is sent back to Order Management with
the details of the shipment.

Shipping Quantities
After a shipment is closed, the order line is updated with the shipped quantities and the status
of the sales order line is changed to Shipped. The Ship Confirm transaction initiates the
Oracle Inventory interface to generate the issue from stores transaction, which decrements
Oracle Inventory and removes the inventory reservation. The Order Management interface is
initiated to update the sales order line with shipped quantities and freight charges. Oracle
Inventory creates a material distribution record, which is ultimately passed to the general
ledger. If a partial Ship Confirm is performed, then the remaining quantity can be either staged
or backordered.
Backordered Quantities
Backordered quantities are left in the staging subinventory. They aren’t automatically returned
to their source location. The backordered quantity is removed from the shipment and the
reservation is removed.

Staged Quantities
Staged quantities are left in the staging subinventory and can be ship confirmed at a later
time. The staged quantity is removed from the delivery that is being confirmed and optionally
can be linked to a new shipment number.
Cycle Count
Cycle counting is the periodic counting of individual items throughout the course of the year to
ensure the accuracy of inventory quantities and values. If you select Submit All for Cycle
Count, then the entire reserved quantity for a shipment is transferred to Cycle Count and the
shipment line status is changed to Backordered.

Demonstration: 23-1
Viewing the Inventory Management Landing Page


Summary

• Describe the shipping process flow
• Explain the various activities performed when processing a
shipment
• Describe how Order Management and Oracle Fusion
Inventory Management support the shipping process


24
Shipping Basic Setup

Part 9: Shipping
Implementation

Order-to-Cash Flow
Shipping: Basic Setup
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure &
Price Order

Objectives
• Explain and describe shipping parameters

• Define a carrier
• Explain shipping cost types
• List the shipping documents that are supported
• Describe shipping exceptions
• Identify shipping lookups

• Verify user roles and objectives

Topics
• Shipping Parameters
• Carriers
• Shipping Cost Types
• Shipping Documents and Sequences
• Exceptions
• Lookups

• User Roles
To make shipments for a company, you must first determine the behavior and use of certain
shipping-related functions that dictate how shipments are processed in each organization in
an order-to-cash flow. Shipment processing behavior is largely dependent on shipping setup
steps, such as defining shipping parameters. When you define these parameters, you define
the default values for basic shipping information, such as units of measurement, pick release
rules, weight and volume calculations, and shipment grouping rules. Additional setup steps
such as carrier definition, shipping cost types and exception processing gives you the
flexibility to configure the shipping process to best fit your business needs.

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section describes the shipping parameters.

Shipping Parameters
Used to define organization-level default values that control

behavior in picking and shipping processes.

The Manage Shipping Parameters page is where you (Warehouse Manager) select options
for defining default shipping parameters for the organization.
Navigation:
2. In the Setup and Maintenance work area, select the Manufacturing and Supply Chain
Materials Management offering.
3. Search for the Manage Shipping Parameters task. Select the task in the Shipping functional
area.
This screenshot depicts the Manage Shipping Parameters page with default values.

Shipping Parameters
• Used to define organization-level default values that control

behavior in picking and shipping processes
• Defined on the Manage Shipping Parameters page in the
Setup and Maintenance work area

Assigns Default To
Values
Shipping Parameters
Manage Shipping Parameters Specific to an Organization
Assign default values to shipping parameters that are specific to an inventory organization.
You can define the default values for basic shipping information, such as:
• Shipment creation criteria
• Pick release behavior
• Shipment grouping settings
Parameters appear in the following regions of the Manage Shipping Parameters page:
• General
• Pick Release
• Optional Shipment Grouping Attributes

Shipping Parameters: General
Determine shipping behavior, such as:

• Shipment creation criteria
• Shipment merging
• Packing
• Ship confirm
• Shipment sets

• Weight, volume, and currency
• Interface with Inventory and other applications.
Shipping Parameters: General Region

• Shipment Creation Criteria: Determine whether to autocreate shipments within the
same sales orders or across orders.
• Appending Limit: Indicate the point at which you want to stop the application from
adding lines to a shipment (the point that ends the ability to merge shipments).
• Packing Unit Capacity Method: Select the default unit of measure to use for the
Packing Unit Capacity Method for a container. This selection determines whether
containers have met their minimum fill percentage requirements
• Ship Confirm Rule: Select a rule that your organization will use as a default for
automatic ship confirm.
Note: If you want to define a default ship confirm rule, then you must select Ship All as
your option when you define your ship confirm rules in the Ship Confirm window.
• Weight and Volume UOM Class: Select the default weight UOM class.
• Currency: Select the default currency used for the carrier services rating.
• Inventory Interface Batch Size: Specify the number of lines to interface to Oracle
Fusion Order Management for each call. Specify the batch size that is inserted in the
Oracle Fusion Inventory tables.

• Shipment Set Behavior: Indicate how you want the application to react when a user
attempts to break a shipment set.
• Automatically pack: Determine whether to allow shipment line items to be
systematically packed into LPNs based on container-item relationships.
• Consolidate backordered: Indicate whether you want to consolidate a line that was
split and subsequently backordered. The line will be consolidated automatically with
other backordered lines that it was part of originally.
• Enforce packing: Indicate whether you want to display a warning when confirming a
shipment with unpacked shipment lines.
• Enforce shipping method: Indicate whether you want to require a user to enter and
record a shipping method (carrier) for each shipment.
• Allow future ship date: Allow a user to enter a future date as the Actual Departure
Date while ship confirming the shipment.

• Defer sending inventory updates to integrated applications: Defer shipping
interfaces from initiating updates to the Oracle Order Management Cloud and Oracle
Inventory Cloud interface tables. If you defer sending updates, then you must manually
run the interface to update the interface tables.
• Enable carrier manifesting: When this parameter is enabled, (along with additional
setup on the carrier), the shipping organization can send an outbound message to a
carrier manifesting system, including data pertinent to the shipment, that allows the
manifesting system to calculate the total weight, calculate the total freight costs, and
produce the required shipping labels and paperwork for the shipment.
• Defer online processing of inventory updates: If you select this parameter, then you
must run the inventory interface scheduled process separately to update and decrement
inventory with the shipped quantities. When this parameter is not selected, the inventory
interface happens automatically after ship confirmation.

Shipping Parameters: Pick Release
Shipping Parameters
Pick Release
• Pick Release
Based On
Shipment Lines

Pick Release Shipping Parameters
determine the default behavior of the
Pick Release process when executed.
Staged Shipment and

Shipment Lines
This diagram shows that the Pick Release Shipping Parameters determine the default
behavior of the pick release process when executed.
• Release sequence rule: Determine the order in which shipment lines are allocated to
Inventory. It appears as the default release sequence rule on the Pick Release page.
Note: It is recommended that you select the most frequently used release sequence
rule. Although it becomes the default, you can change it any time you launch pick
release.
• Pick slip grouping rule: Determine how the released shipment lines are grouped on
pick slips and how the pick slip number is generated by pick release
• Print pick slip: Determine when to print the pick slips.
• Number of picking lines: Enter the number of pick slip lines to print on each pick slip.
• Staging subinventory: Select the staging subinventory where you want to transfer
orders.
• Staging locator: Select a locator in the staging subinventory where you want to transfer
orders.

Number of pick release child processes: Enter the number of child pick release concurrent
programs that you want to run in parallel.
Pick release batch size: This parameter enables you to set the number of lines released in a
pick release batch. The minimum batch size is 50, and the maximum batch size is 1000. Any
number that is entered less than 50 is treated as 50, and any number that is entered greater
than 1000 is treated as 1000. Any number in between is treated as actual.
Create shipments: Indicate whether to create shipments and assign lines to them
automatically based on the shipment grouping attributes.
Enforce shipment set: Indicate whether to enforce that all lines in a shipment set or ship
model are released together.
Express pick: Determine whether to skip movement request line creation, allocations, and
the pick confirm process. All will be skipped under the following conditions:
• Prior Reservations Only is selected in the Release Sales Orders window before the

pick release request is submitted.
• Auto Pick Confirm is set to Yes in the Release Sales Orders window before submitting
pick release request.
• If the preceding conditions are met, then the lines will not be staged if any of the
following applies:
- The organization to which the line belongs is a logistics services organization.
- The sales order line does not have detailed reservation.
- The line is not part of a ship set but is part of a model or kit (which has Ship Model
Complete set to Yes) and the shipping parameter Enforce Ship Sets and Ship
Models is set to Yes.
- Apply reservations at the locator level for locator-controlled subinventories, and at
the subinventory level for subinventories that aren’t locator-controlled. No pick
slips can be generated for lines processed as part of express pick. The
subinventory where reservation was created (before pick release) will be used for
storage of material and staging. The staging subinventory and locator entered on
the Release Sales Order window is always ignored.

Shipping Parameters: Shipment Grouping
Mandatory grouping
attributes:
• Ship-from Organization
• Ship-to Location
Grouped

Shipment Lines Shipments
Optional grouping attributes:
• Customer
• Freight Terms
• FOB
• Shipping Method
The shipment grouping attributes determine how shipment lines are grouped into shipments
when shipments are created automatically. The mandatory default attributes are ship-from
location and ship-to location. In addition, you can select the following optional grouping
parameters:
• Shipping method
• FOB
• Freight terms
• Customer

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section describes carriers.

Carriers
Transport Based on
Carriers Shipments Transportation

Schedules
Between

Internal
Supplier Shipper Customer
Organization
A carrier is a commercial company that transports shipments to and from customers,

suppliers, and internal organizations. A carrier can consist of different service levels and
modes of transportation. If the Enforce Ship Methods Shipping parameter is enabled, then
you must assign a carrier to a shipment to ship confirm it.
A carrier is stored as a party in Oracle Fusion Trading Community Model with
TRANSPORTATION_PROVIDER as the assigned party usage. Some attributes of the carrier,
such as the Active flag, Manifesting Enabled flag, and any flexfields are stored in WSH
schema for the carrier entity.
The Active check box indicates whether the carrier is active. It’s selected by default.
When a carrier is created, a party usage assignment is also created for this carrier in the
Trading Community Model schema. If the carrier is active, then the party usage assignment
record has a future end date defined. If the carrier isn’t active, then the party usage
assignment record has a past end date defined.

Shipping Method
Ship method is the concatenation of freight carrier, service level (such as next-day air), and
mode (such as LTL). You must assign a shipping method to an organization so that the
organization can use it.
Transportation Schedules
Transportation schedules define valid shipping days and hours for a supplier, shipper,
customer, and internal organization, as indicated in the diagram. You aren’t required to use
these calendars.
The shipping and receiving calendars are used to designate when your customers, customer
sites, suppliers, supplier sites, and internal organizations can ship and receive.
The transportation schedules don’t affect scheduling performed by Oracle Advanced Planning
and Scheduling.

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section discusses shipping cost types.

Shipping Cost Types
Cost Types
Different
Cost
Insurance Types
Assigned Shipment

Handling
Containers Shipment Lines

Loading And
Unloading
You can define shipping cost types, such as insurance, handling, and loading and unloading.
Shipping cost types can be attached to shipments. You can attach multiple shipping cost
types to a shipment. You can group costs based on the shipping cost types.
Prerequisites for defining freight costs:
• Define values for Freight Cost Type lookups.
• Define pricing modifier and optionally a pricing formula to pass freight costs to Order
Management and Oracle Fusion Receivables.
Define the freight costs in the Freight Cost Types window. You can define the freight cost
name, type, currency, amount, and effective period.
The diagram in the slide shows a variety of shipping cost types, which can be assigned to
shipments, shipment lines, and containers.

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section lists the shipping documents that are available.

Shipping Documents
The following shipping documents are supported:

• Bill of lading
• Packing slip
• Mailing label
• Commercial invoice

The packing slip meets Italian regional requirements. In some regions, specific
information, such as secondary carrier, is required on a packing slip. You will find the
attributes used to configure the packing slip on the Manage Shipping Parameters user
interface.
This slide contains screenshots of a commercial invoice, packing slip, and bill of lading.

Shipping Document Sequences
Seeded Shipping Document Sequences

• BOL
• PKSLP
Assign
Numbering
Sequence

Document Documents Sequenced
Sequence Documents
Each business document or business event is uniquely identified by a document sequence

number that you assign to it. However, you must enable the document sequencing feature on
the business document or event to allow the assignment. For example, if document
sequencing is enabled, then you can assign a document sequence number to an invoice that
is generated in response to a purchase order.
You can use document sequences to track proof of successfully executed transactions, as
well as failed transactions. Additionally, a document sequence helps in generating an audit
trail, which can be used to identify how a particular transaction passed through various
applications.
You can manage document sequencing as follows:
• Automatic sequencing: Assigns a unique number to each document as it’s generated,
and this unique number is stored in the database. The numbering is sequential by date
and time of creation. If you define a sequence to automatically number documents, then
you can provide an initial value to begin the sequence. In the absence of a user-
provided value, the default value 1 is used.

Shipping Document Sequences
• Manual sequencing: Requires you to assign a unique number to each document
before it is generated. The numerical ordering and completeness of a transaction is not
enforced. You can skip or omit numbers when entering the sequence value. However,
each time that a number is assigned, the application validates its uniqueness.
• Gapless sequencing: Automatically generates a unique number for each successfully
generated document. As a result, the sequence is maintained for all the documents that
are generated, and no sequence numbers are lost due to incomplete or failed document
generation. Additionally, you can control the gapless document sequencing by enforcing
the Transaction Date Validation option. When enabled, this option checks for the
transaction date of a particular document and assigns the sequence number
accordingly, to maintain the chronological order in which the documents are created and
assigned sequence numbers. The sequence numbers and the transaction dates are

chronologically correlated to prevent any mismatch of a new document sequence being
assigned to an older document or vice-versa.
Use the Document Sequences page to define the document sequence. You can specify
unique document sequencing for bill of lading (BOL) and packing slips (PKSLP) in Oracle
Shipping.
You can define the following on the Manage Shipping Document Sequence page:
• Application: The application to which the document sequence can be applied
• Module: Same as the application
• Type: You can select the following options:
- Automatic: This option automatically assigns a number to the document based on
setup.
- Manual
- Gapless
• Determinant Type: You can associate the document sequence with the following
determinants—Business Unit, Ledger, Legal Entity, or Tax Registration.
• Start Date: The start date from which the document sequence is valid
• End Date: The end date till which the document sequence is valid
• Initial Value: Initial value of the document sequence
• Audit: You can audit document sequences, if required, to provide an audit trail of the
document sequences used in a specific product.
• Display Message: Select this check box to display a message to inform the user
sequence and name.
• Validate Transaction Date
The diagram in the previous slide shows document sequences, which are then assigned to
documents. The result is sequenced documents. The BOL (bill of lading) and PKSLP (packing
slip) document sequences are seeded.

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section describes how to manage shipping exceptions.

Shipping Exceptions
Raised • Shipments
On • Shipment Lines As
• Containers

Shipment • Picking
Exceptions
During shipping and transportation of goods, many possibilities may arise for violating the
requirements of a shipper, transportation carrier, or the customer. These situations are called
shipping exceptions. The process of handling the exception is called Handling Shipping
Exceptions. Use shipping exceptions to identify and handle nonconforming operations that
violate the requirements of your business or those of your carriers and customers.
Some exceptions are seeded by default. You can define your own manual exceptions, as
well.
Shipping exceptions are raised on shipments, shipment lines, containers. For each shipping
entity the shipping exceptions that are logged against it appear on the Review Shipment
Exceptions page.
Shipping exception types:
• Error
• Warning
• Information

Shipping Exceptions
Manage Shipping Exceptions Attributes
Name
Define Description
Type
Severity

You can define shipping exceptions to meet your unique business requirements. For
example, you can define a shipping exception for a scenario where the transportation carrier
does not deliver the goods to the customer on time. You can manually log this exception
within the entity against the transportation carrier.
Define the shipping exceptions on the Manage Shipping Exceptions page.
This diagram shows that you can define shipping exceptions by using attributes such as
name, description, type, and severity.

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section describes Shipping lookups.

Shipping Lookups
Four Shipping lookups with a customization level of User:
Lookup Type Meaning

WSH_SHIPPING_PRIORITY Shipping Priority
WSH_FREIGHT_COST_TYPE Shipping Cost Types

WSH_FREIGHT_CHARGE_TERMS Shipping Freight Terms
ORA_WSH_TRANSPORT_REASON Transportation Reason
Lookups are lists of values in applications. You define a list of values as a lookup type
consisting of a set of lookup codes, each code’s translated meaning, and optionally a tag.
Users see the list of translated meanings as the available values for an object.
Lookups provide a means of validation and lists of values where valid values appear on a list
with no duplicate values. For example, an application might store the values Y and N in a
column in a table, but when displaying those values in the user interface, Yes or No (or their
translated equivalents), are available for users to select.
Creating a new standard lookup involves creating or selecting a lookup type containing the
lookup code and determining appropriate values for the lookup codes and their meanings.
Customization levels are defined on lookup types and can be used to enforce predefined data
security policies that restrict how and by whom lookup types and their codes can be edited.

Shipping Lookups (continued)
Shipping provides 55 Shipping lookups, of which four have a customization level of User. The
table in the slide shows the lookup type followed by the meaning:
• WSH_SHIPPING_PRIORITY: Shipping priority
• WSH_FREIGHT_COST_TYPE: Shipping cost types
• WSH_FREIGHT_CHARGE_TERMS: Shipping freight terms
• ORA_WSH_TRANSPORT_REASON: Transportation reason

Topics
• Carriers
• Exceptions
• Lookups

• User Roles
This section discusses Shipping user roles.

Shipping Process Flow and User Roles
Warehouse Order Fulfillment,

Process Sales Reserve Manage and
Manager Order Inventory Release Pick Waves
Warehouse Pick Loads

Operator

Communicate Shipping Order Fulfillment,
Messages and Updates Process Bills
with Trading Partners Receivable
Shipping Process and
Agent Confirm
Shipments
Capture Shipping Financial Control
and Reporting,
Costs and Cost to
Record Cost
Charge
Accounting
The shipping process flow is initiated with a sales order that is generated from Order
Management. A reservation is then created, designating the material for a specific sales
order. A reservation protects inventory by preventing the material from being used by other
demand sources. The Warehouse Manager:
• Monitors and releases sales orders for picking in the warehouse
• Generates pick slips for picking material for outbound material movement
• Creates pick waves by using a variety of criteria leading to more efficient warehouse
operations
The Warehouse Operator monitors and performs the picking activity. The Pick Loads activity
includes picking outbound, replenishment, and requisition pick slip types. The Warehouse
Operator can easily search for a pick slip and confirm the pick slip in a single action. The
Warehouse Manager can generate and distribute pick slip reports to provide instructions to
Warehouse Operators on material movement.

The Shipping Agent can:
• Process and confirm outbound shipments including packing, creating shipments, and
resolving exceptions
• Generate outbound shipping documentation, such as the carrier bill of lading upon ship
confirmation
• Communicate shipping messages and updates to trading partners. Shipping messages
include the contents or a shipment, shipment status, shipment arrival details, and
shipment requests. Communicating shipping messages and updates with trading
partners provides the ability to integrate with external systems.
• Capture all shipping costs that are associated with a shipment and assign them to a
shipment, shipment line, or packing unit
The final process in the flow is to pass shipping information to order fulfillment and cost
management for further downstream processing.

Demonstration: 24-1
• Defining Shipping Parameters


Practice: 24-1
• Creating a Carrier


Summary

• Explain and describe shipping parameters
• Define a carrier
• Explain shipping cost types
• List the shipping documents that are supported
• Describe shipping exceptions

• Identify shipping lookups
• Verify user roles and objectives

25
Pick Wave Management

Part 9: Shipping
Implementation

Order-to-Cash Flow
Managing Pick Waves
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure &
Price Order

Objectives

• Describe the pick wave process
• Understand pick release-related setup activities
• Demonstrate pick wave release rules
• Define release sequence rules
• Create picking rules

• Make picking rule assignments
• Select a pick slip grouping rule

Topics
• Managing Pick Waves: Overview

• Movement Requests
• Pick Wave Release Rules
• Release Sequence Rules
• Picking Rules
• Pick Slip Grouping Rules


Topics

• Picking Rules

This section discusses pick wave management. It provides a method to pick release a group
of shipment lines (pick wave) that have a status of Ready to Release in an organization.
Releasing a pick wave releases these shipment lines to the warehouse for picking. The
warehouse delivers the items to the staging location in shipping, where they are ship
confirmed.
You initiate a pick wave based on default picking parameters. On the Manage Pick Wave
pages you can view the current status of pick slips and picks for the organization.

What Is a Pick Wave?
A batch of shipment lines that are pick released together based

on certain business-related criteria

Pick release finds and releases eligible shipment lines that meet the release criteria, and
creates movement requests. The process of transacting a movement request creates a
reservation and determines the inventory source subinventory. Pick slips are created after a
process completes, which allocates specific details to the line to be picked, such as locator,
lot, or serial number.
The screenshot in the slide shows the Pick Waves work area. In this work area, you can
monitor the progress of a pick wave after it’s created and released for picking.

Pick Wave Usage
You might want to use pick waves when:

• Fulfilling a particular customer demand
• Optimizing transportation
• Fulfilling backorders to reduce delay in shipment

Examples of when you might want to use pick waves include:

• Fulfilling a particular customer demand: If your organization has customers who
have specific quality demands, then you can create a pick wave to perform extra quality
checks or follow special procedures during shipping.
• Optimizing transportation: You can process a batch of shipment lines that are bound
by common ship-to location, shipping method, and shipping priority in order to optimize
transportation. If your organization has several customers in one location, then your
organization can choose to collect all the shipment lines for those customers and ship
them together through a common carrier.
• Fulfilling backorders to reduce delay in shipment: If your organization chooses to
fulfill backorders by putting them on a faster shipping schedule, then you can create a
pick wave for all the backordered lines and ship them using a faster shipping method.

Pick Release Process Options
You can determine the number of pick release steps.

Three Steps
Pick Release Pick Confirm Ship Confirm
Shipment Lines Two Steps

Pick Release Auto Pick Confirm Ship Confirm
One Step
Pick Release Auto Pick Confirm Auto Ship Confirm
Manual or Scheduled Operation
You can determine the number of pick release steps. These steps are:
• Pick release
• Pick confirmation (automatic or manual)
• Ship confirmation

Pick Release
Shipment lines are pick released together based on certain
business-related criteria.
Release Rule
Defines which
shipment lines are
considered for pick
Enter release Apply to
Release Criteria

Pick by:
Shipment Lines
Create Pick Wave •Order
•Scheduled Date
•Requested Date Release now
or
•Shipment
Add to schedule
•Carrier
•Item
•(more)
Options
Processing and Batch of picks that meet
Fulfillment options release criteria
The graphic shows that a pick wave contains the following:

• Release rule that defines which shipment lines are considered for pick release
• Release criteria, which are the attributes that will be considered
• Processing and fulfillment options
The shipment lines are evaluated using the rules, release criteria, and options of the pick
wave. You can release them immediately or schedule their release.

Topics

• Picking Rules

This section discusses movement requests, which are requests to transfer materials
from a subinventory to a staging location.

Movement Request
Movement Request
Request To

Transfer Materials
Subinventory Staging Location
A movement request is a request to transfer materials from a subinventory to a staging

location. The pick release process creates movement requests in the background for lines
and subinventory transfers. The pick consists of lines that must be picked from the
subinventory to the staging location.
To release the lines, the lines must be allocated with materials from the subinventory. In a
process called allocation, the Oracle Fusion Inventory picking engine populates the lines with
the transaction details and places a high-level reservation on the material. A high-level
reservation is a guarantee of available inventory. When you create a pick wave, if sufficient
inventory is available, then a high-level reservation is created. This high-level reservation
guarantees that the quantity you need is available.
Staging Location
A staging location is the destination subinventory where the materials are deposited after
picking. Material deposited in the staging location is then in position for its next step, which is
ship confirm. Each organization must designate at least one staging subinventory. In a
warehouse, the staging location is physically located typically near the shipping dock. Staging
subinventories must be reservable. Each pick wave that is created at pick release has the
same destination staging subinventory.

Topics

• Picking Rules

This section discusses the rules you create to release pick waves.

Pick Wave Release Rule
Based On Selected
Pick Wave
Release Rules

Shipment Lines Pick Release
Define the pick wave release rules to specify the criteria by which the shipment lines are
selected for pick releasing and to determine the picking operations to perform on the shipment
lines. Pick wave release rules provide a means for defining one-time setup for your pick
release process. You can create a pick release rule with its own set of unique parameters for
pick releasing. Pick release rules are most convenient to use when you run pick release
regularly based on the same set of criteria.
Note: You must have a release rule defined when you pick release using a scheduled
process or when you use the automatic pick, pack, and ship features.
Criteria for Pick Wave Release Rules
Demand selection: Ship-from organization, subinventory, release status
The graphic in the slide represents release sequence rules and how they relate to inventory
allocation.

Demonstration: 25-1
Managing Pick Waves


Topics

• Picking Rules

This section discusses the rules you create to determine the order in which to allocate
the eligible picking lines to Oracle Fusion Inventory during pick release.

Release Sequence Rules
Specify the order in which to allocate the eligible picking lines to

Oracle Inventory.
Release Sequence Rules
• Initial Ship Date
Based On Allocated
• Outstanding Invoice Value
• Sales Order

• Scheduled Ship Date
• Shipment Priority
Shipment Lines Oracle Inventory
Release sequence rules specify the order in which to allocate the eligible picking lines to
Inventory during pick release. You can release the picking lines by selecting any of these
attributes:
• Initial ship date
• Outstanding invoice value: Release picking lines based on the outstanding invoice
value.
• Sales order: Release picking lines based on the order number. If you define a priority
for the order number, then you can’t define priority for outstanding invoice value.
• Scheduled ship date: Release picking lines based on scheduled date of delivery.
• Shipment Priority: Release picking lines based on the shipment priority.
You can assign a priority of 1 to 5 to these attributes, where 1 is the highest priority and 5 is
the lowest. You can also determine whether to pick the lines based on ascending or
descending order.

Example
Attribute Priority Level Order
Shipping Priority 1 Ascending
Schedule Date 2 Ascending
According to the preceding table, the order lines with the highest shipping priority and the
earliest scheduled date are allocated with the material first.

Topics

• Picking Rules

This section discusses the rules you create to determine the priorities that Order
Management uses when picking items out of finished goods inventory to ship to a
customer.

Picking Rules
Picking Rule
Applies to
Shipment Lines

Sort Criteria
(Subinventory)
A set of criteria that you define that defines the priorities that Order Management uses when
picking items out of finished goods inventory to ship to a customer.
Define picking rules in Oracle Fusion Inventory. Movement requests use the picking rules that
are set up in Oracle Fusion Inventory to locate the material that is required to fulfill the
movement request line. The picking rules suggest the staging transfer transaction lines with
appropriate source information that is required to obtain enough material in the staging
location for the shipment.
You can create picking rules that enable you to determine which material to pick and the order
in which to pick it for shipment lines. Oracle Fusion Inventory observes the picking criteria
order and the options for each criterion.
You can create rules based on the following restrictions:
• Shelf life days
• Single lot: Allows allocation of multiple lots for a particular demand
• Allow partial picking: Allows allocation of quantities less than the total lot quantity
available
• Customer specification matching: Requires quality specification matching

You can also create sort criteria that determine which material is picked first:
• Lot: FIFO or FEFO
• Lot: Ascending or descending
• Locator: Ascending or descending
• Locator Receipt Date: Ascending or descending
• Revision: Ascending or descending
• Revision Effective Date: Ascending or descending
• Subinventory: Ascending or descending
• Subinventory Receipt Date: Ascending or descending
When you define an item, you choose a picking rule to determine the order in which to pick
revisions, lots, subinventories, and locators for shipment lines. Oracle Fusion Shipping
submits requests to Inventory, which uses the information in the picking rules to generate pick

slips for shipment lines. Inventory examines the picking criteria in the order of sequence
number in the Picking Rules Assignment window. Then, Inventory examines the options for
each criterion.

Picking Rule Assignments
Picking Rule Organization
Assigned to
Customer
Carrier

Criteria
Subinventory Items
Applies to
Shipment Lines
After you create a picking rule, use the Picking Rule Assignments page to assign the picking
rule to an inventory organization. You must select an organization and enter a sequence
number and the picking rule.
Other options:
• Make the rule active or inactive.
• Select a date type (such as month, week, or a date range) in which the rule is applicable
in the organization.

Other options:
• Determine how the inventory is allocated:
- Customer
- Carrier
- UOM or UOM Class
- Subinventory (source or destination)
- Movement Requests Created By
- Item (type or category name)
- ABC Assignment Group and Class
- Transaction (source type, type, or action reason)
Example 1: If you create a rule that allocates lots based on FIFO, then you can assign that

rule to a particular customer, so that material you pick for that customer is allocated based on
FIFO.
Example 2: If you create a picking rule that allocates material by lot number in ascending
order followed by locator in ascending order, then you can assign that rule to a particular item
so that material you pick is allocated based on the lowest lot number of the item in the lowest
locator number where the item resides.

Topics

• Picking Rules

This section discusses the rules you create to group the shipment lines in a pick slip.

Pick Slip Grouping Rule
Released Shipment Lines Pick Slips #
Order No. 5345 Grouped by

Source Subinventory: FGI Source
Subinventory #1
Order No. 5345
Source Subinventory: FGI

Order No. 5345
Shipment: 61814
Grouped by
Source Subinventory: FGI
Shipment #2
Order No. 6532
Shipment: 61814
Source Subinventory: MFG
Use pick slip grouping rules to specify the criteria to group the shipment lines together in a
pick slip. For example, if you select shipment as a grouping criteria, then all shipment lines for
the same shipment are grouped together on a pick slip. Use the Pick Slip Grouping Rules
window to define the pick slip grouping rule.
Some of the ways you can group pick slips:
• Order number
• Customer
• Ship to
• Carrier
• Trip stop
• Delivery
• Shipping priority

Some of the ways you can group pick slips:
• Subinventory (source or destination)
• Locator (source or destination)
• Item or revision
• Project
• Task
• Job or schedule
• Operation
• Department
• Push or pull
Note: The last four attributes are available only if Oracle Warehouse Management system is

installed.

Practice 25-1:
Creating a Pick Wave for a Single Order


Summary

• Describe the pick wave process
• Understand pick release-related setup activities
• Demonstrate pick wave release rules
• Define release sequence rules
• Create picking rules

• Make picking rule assignments
• Select a pick slip grouping rule

26
Pick Confirmation

Part 9: Shipping
Implementation

Order-to-Cash Flow
Pick Confirmation
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure &
Price Order

Objectives

• Explain the difference between manual and automatic pick
confirmations
• Describe the setup required for each process
• Demonstrate navigation to the Confirm Picks page
• Pick release and pick confirm a shipment line


Topics
• Pick Confirmation: Overview

• Pick Confirmation Setup

The picking and shipping process for many customers requires that pick slips be manually
pick confirmed. This requirement is typical when system on-hand quantities frequently differ
from actual quantities or when the items being picked need closer control and may require
picking from other locators, as an example. In this case, when you create a pick wave for
orders, the check box that allows automatic pick confirmation is deactivated so that the line
requires manual pick confirmation. The result of the pick wave is the warehouse contains pick
slips with lines with a status of Released to Warehouse. These lines must be manually pick
confirmed. You confirm the pick slips by entering the picked quantity and clicking the Confirm
button. The status of the line changes from Released to Warehouse to Staged, completing the
pick confirmation process.

Topics


This section provides conceptual information about pick confirmation.

Pick Confirmation: Overview
Pick confirmation executes the subinventory transfer that

systematically moves the material from its source location to
the staging location.

Subinventory Transfer
Pick from Subinventory Staging Location
Pick confirmation is a process that transfers materials from the source subinventory location
to the staging location. The transfer is performed based on the allocation made by Oracle
Fusion Inventory to the movement request lines. Pick confirmation automatically transfers the
organization-level reservation to an allocated reservation (including lots, subinventory, and
locators) in the staging location. Detailing and pick confirmation can be manually transacted
through Inventory or set up in Organization Parameters to occur automatically at pick release.
The purpose of pick confirmation is to confirm the material dropped off in staging. Pick
confirmation ensures that the system’s records match actual inventory movements. At pick
confirmation, you can report a missing quantity or change information if material is picked
from a different lot, serial, locator, or subinventory. You can use the pick confirmation pages to
swap commitments.

Pick Confirmation Process
Pick Confirmation Required
Pick Release / Allocation

Shipment Lines Subinventory

Line status,
Manual process to verify
Staged/Pick Confirmed items and quantity picked
Staging Location Pick Confirmation
The movement request line details are transacted (in Inventory) to confirm the material drop-
off in staging. Pick confirmation executes the subinventory transfer that systematically moves
the material from its source location in the warehouse to the staging location.
The diagram in the slide shows the pick confirmation process steps, which are listed as
follows:
1. The shipment lines are pick released and allocated by Inventory to the movement
request lines.
2. The material is readied for transfer out of the subinventory.
3. The picked item and item quantity are verified manually.
4. The materials are put in the staging location. The pick confirmed quantity is assigned a
status of Staged/Pick Confirmed. Unconfirmed quantity changes to the status
Backordered (not shown in the diagram).

Release Process Options

This graphic shows release process options. Automatic and manual pick confirmation are
options in this process. You can combine the following steps:
• Pick release
• Pick confirmation (automatic or manual)
• Ship confirmation
You might want to pick confirm automatically immediately after the lines are detailed if your
organization’s picks rarely deviate from the suggested picking lines, or if the overhead of
requiring a manual pick confirmation is unmanageable.
If your organization ships high volumes, then it can benefit from a one-step process for speed
and efficiency. However, if your organization has a lot of deviation in ordered versus shipped
quantities and highly detailed picks, then it may benefit most from a two-step process that
includes manual pick confirmation.

Topics


This section discusses setting up pick confirmation for manual confirmation and for
automatic confirmation.

Manual Pick Confirmation Setup
Select when manual confirmation of the

picked item and quantity is required.

If you want your pickers to manually pick confirm, then select the Pick Confirmation Required
check box on the Manage Inventory Organization Parameters page, which is shown in this
screenshot. If you do not select the check box, then pick confirmation occurs automatically.
Navigation
2. In the Setup and Maintenance work area, search for the Manage Inventory
Organizations task. Select the task in the Customers functional area.
3. On the Manage Inventory Organizations page, search for an organization. Then select
the organization and click Manage Organization Parameters.
4. On the Manage Inventory Organization Parameters page, click the Item Sourcing
Details tab.

Automatic Pick Confirmation Setup
Select when creating a pick wave to

override the need to manually pick
confirm item and quantity picked.

If you want to enable automatic pick confirmation, then select the Autoconfirm Picks check
box on the Options tab of the Create Pick Wave page, as shown in this screenshot.
Otherwise, manual pick confirmation is required.
Navigation
1. From the Navigator, select Inventory Management.
2. In the Inventory Management work area, click the Tasks panel tab and then select
Shipments in the Show Tasks list.
3. Select Create Pick Wave.

Practice: 26-1
Confirming a Pick Slip


Summary

• Explain the difference between manual and automatic pick
confirmations
• Describe the setup required for each process
• Demonstrate navigation to the Confirm Picks page
• Pick release and pick confirm a shipment line


27
Shipment Confirmation

Part 9: Shipping
Implementation

Order-to-Cash Flow
Ship Confirm
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure &
Price Order

Objectives

• Describe ship confirmation key concepts
• Demonstrate one-step shipping
• Define a ship confirmation rule
• Explain shipping parameters


Topics
• Ship Confirmation: Key Concepts

• One-Step Shipping
• Shipping Confirmation Rules
• Shipment Consolidation

Ship confirmation is the process of confirming that items have shipped. When you ship
confirm a shipment, Oracle Fusion Shipping confirms that the shipment lines that are
associated with the shipment have shipped.
Different options are available to provide flexibility for automating many tasks that are
associated with ship confirmation. For example, if you select the Ship Entered Quantities,
Unspecified Quantities Ship option when you ship confirm, then the shipped amounts are
processed automatically, so that each shipment line with a missing shipped quantity value is
recorded as fully shipped. This saves you from manually entering each item as fully shipped.

Topics


This section provides conceptual information about ship confirmation.

What Is Ship Confirm?
Ship confirm is the process of confirming that items have shipped

from the staging location. When you ship confirm a shipment,
Oracle Shipping confirms that the shipment lines associated with
the shipment have shipped.

Ship confirmation is the process of confirming that items were shipped. When you ship
confirm a shipment, Shipping confirms that the shipment lines associated with the shipment
have shipped.
Shipment lines must be in the Staged status to perform Ship Confirm.

Pick Release and Ship Confirmation Process Options
The two-step
process represents
the most commonly
used process for
Oracle Shipping
users.

An automated shipping process is useful when you rarely modify attributes of the shipment.
You can use the automated shipping process to perform the following automatically:
• Pick release: You can automate the pick release process to perform shipment creation,
pick selection, pick allocation, and pick confirmation.
• Packing: You can run the Pack Shipments scheduled process to automatically pack
shipment lines within a range of parameters such as pick wave, from shipment, to
shipment, bill of lading, ship-to location, and customer.
• Ship confirmation: You can run the Confirm Shipments scheduled process to
automatically ship confirm shipments within a range of parameters, such as Ship
Confirm rule, actual ship date, ship-from organization, pick wave, from shipment, and to
shipment.
One step: Performs pick release, automatic pick confirmation, and automatic ship
confirmation in one action.
Two steps: Performs pick release, automatic pick confirmation, and ship confirmation in two
actions. The two-step process represents the most commonly used process for Shipping
users.
Three steps: Performs pick release, pick confirmation, and ship confirmation in three actions.

Topics


This section explains one-step shipping.

One-Step Shipping
Automatic

Pack
Pick (Optional) Ship
One-step shipping involves picking and shipping; or picking, packing, and shipping of one or
more shipments or shipment lines. When you perform one-step shipping, you achieve:
• Automatic creation of shipments for shipment lines, if shipment lines aren’t associated
with a shipment.
• Pick release and pick confirm all shipment lines assigned to the shipments. This
includes the shipments that were created automatically.
• Automatic packing of all shipment lines assigned with the shipments that are in the
Staged status.
When you use one-step shipping, automatic ship confirmation confirms all shipment lines that
are assigned to shipments in Staged status and that don’t require assignment of serial
numbers.
Note
• If you want to automatically pack all shipment lines into LPNs, then you must set the
autopack level for your organization to Yes or Autopack Master on the Shipping
Transaction tab of the Shipping Parameters window.
• Define Manage Default Packing Configurations for the items on the shipment line items.

Note
• If you want to ship confirm from the Manage Shipments page, then you must attach a
ship confirm rule to the organization that the sales order belongs to.
• If you want to ship confirm automatically, then you must assign a ship confirmation rule
to your organization. You can assign the same on the Shipping Transaction tab of the
Shipping Parameters window.
• If the pick, pack, and ship process isn’t successful for even one shipment line of a
shipment, then one-step shipping can’t be performed on the entire shipment.
The graphic in the slide shows the following tasks: pick, pack (optional), and ship.

Ship Confirmation
Ship Confirm
Staging Location
Shipment Shipment Line

When a shipment line has a status of Staged, you can perform the following actions:
• Export to Excel: Export page contents to an Excel file for review purposes.
• Ship Confirm: Confirm all lines in a shipment.
• Record Shipping Costs: Enter specific costs that are related to the shipment.
• Review Shipping Exceptions: View any exceptions that are associated with the
shipment.
• Automatically Pack: Automatically pack the shipment line into a container based on
container load relationships.
• Send Outbound Message: Initiate the Send Manifest request process.
These same actions appear in the screen shots in the slide.

• Backorder All: Backorder all shipment lines in the shipment. Backordering also
happens when only a partial quantity of items that were pick released are shipped.
When a shipment line is backordered, the shipment line is split into two shipment lines.
The original line quantity is the detailed quantity. The new line quantity is the difference
between the requested quantity and the detailed quantity.
Note: Backorder consolidation is an automatic process that combines several
backordered shipment lines that have the same source line, back into one shipment line.
Backorder consolidation is performed during pick release, cycle count, or ship
confirmation. To consolidate backorders, the Consolidate Backorder Lines check box on
the Shipping Parameters page must be selected.
• Submit All for Cycle Count: Submit shipment for cycle counting.
• Reset Weight and Volume: Recalculate weight and volume for the lines and LPNs in
the shipment based on any changes that were made in the picking and shipping

process.
• Generate Load Sequence: Determine the order in which lines are loaded into an LPN
or lines loaded within a shipment. The order lines must be associated with a customer
production sequence on the sales order line. The loading options are: Forward,
Reverse, Forward Inverted, and Reverse Inverted.
• Change Ship Confirm Options: Manually change the default ship confirm options that
have been determined by the shipping parameters and ship confirmation rules.

Topics


This section discusses rules that determine how shipments are ship confirmed.

Ship Confirm Rules
Configure ship confirm rules to define frequently used sets of ship

confirm options used for confirming shipments.
Ship Confirm Rules Ship Confirm

• Determine how shipments are ship
confirmed
Allow you to During
• Specify tasks along with shipment
confirmation
• Specify options if shipped quantities
are not manually entered
A ship confirm rule enables you to determine how shipments are ship confirmed.
With a ship confirm rule, you have the flexibility to specify tasks along with shipment
confirmation. You can specify options if shipped quantities are not manually entered and your
organization’s preference of tasks to complete along with shipment confirmation. The
following options are available:
- Create shipment for remaining staged quantities: A new shipment will be
created for lines with remaining staged quantities. Remaining staged quantity is
applicable when shipped quantity is different from picked quantity on the line.
- Create bill of lading and packing slip: A bill of lading and packing slip is created.
Note: You must define sequences of type “Automatic” for the application and
module “Shipping.” The sequences must be assigned to document sequence
categories “BOL” or “PKSLP.”
- Close shipment: The shipment status is set to Closed and, as a result, all the
shipment lines’ statuses are set to Shipped. This defers sending inventory updates
to integrated applications.

• Specify options if shipped quantities are not manually entered: You must specify
an option to apply during ship confirmation if the shipped quantity is not manually
entered for a staged line or lines. For example, consider a scenario where a shipment
has 10 staged lines, and the shipped quantity is manually entered for eight of the lines.
The ship confirm rule must indicate what to do with the two lines for which the shipped
quantity isn’t manually entered. The options are:
- Backorder: The two staged lines are set to Backorder status and are unassigned
from the shipment.
- Cycle count: The two staged lines are marked for cycle count, set to Backorder
status, and unassigned from the shipment.
- Ship requested quantities: The requested quantity on the two staged lines is
shipped.
- Stage: The two staged lines remain staged but are unassigned from the shipment.

The graphic in the slide is explained in the notes.

Topics


This section discusses how you can control ship confirm using shipping parameters.

Ship Confirm Rule: Shipping Parameters
Shipping Parameters Sets Default

• Ship Confirm Rule Values for

Ship Confirm
Parameters
Ship Confirm
Ship Confirm Rule: This is the default ship confirm rule that your organization uses during
ship confirmation. The Ship Confirm Rule in Shipping Parameters determines whether to do
the following for the shipments being ship confirmed in your organization:
• Ship with requested quantities or ship quantities. If you select Requested Quantities,
then Ship Confirm doesn’t recognize any quantity entered in the Ship quantity field. This
is the option you must select for Auto Ship Confirm.
• Create shipments for any remaining staged lines after a shipment is ship confirmed
• Create a bill of lading and packing slip for the shipment
• Close the shipment after ship confirm
• Defer the inventory interface
• Override the shipping method on the shipment line with a specified shipping method
The graphic in the slide shows that the ship confirm rule sets the default values for ship confirm
parameters.

Topics


This section discusses shipment consolidation.

Consolidation of Backordered Lines
Example
If lines are
backordered
during pick
release, cycle
Line is split counting, or ship
during confirm, then they
processing. are consolidated.

1.1 Shipment Line = Quantity 2
1. Shipment line 1.1 Shipment Line = Quantity 2 1. Shipment
1.1 Shipment Line = Quantity 2 Back
with requested line with
Ordered
quantity of 10 1.1 Shipment Line = Quantity 2 quantity of 10 *
1.1 Shipment Line = Quantity 2
* Lines that remain packed are NOT consolidated
How to Consolidate a Backorder: Example

This example starts with a single line with a requested quantity of 10 items. Suppose that
during packing, the line is split into five lines with a quantity of two in each container. If two or
more of these lines are backordered during pick release, cycle count, or ship confirm, then
these backordered lines are automatically consolidated into a shipment line with a quantity of
10. This feature consolidates the lines back into their original lines only. Unassociated lines
are not consolidated with these lines.
When the shipment lines are backordered, a message with the status information is sent back
to Order Management.
Note: Lines that remain packed after backordering aren’t consolidated. Backordered lines
remain packed if they were assigned to a shipment prior to backorder.
The graphic is explained in the notes.

Shipment Consolidation
Pick Release Process

Autocreate
Appending
Shipment
Pick Release Pick

Review Exceptions
Ship Confirm Stage
The diagram in the slide illustrates the shipment consolidation process. The following steps
occur sequentially:
1. Pick release
2. Pick
3. Shipments are staged.
4. Shipments are ship confirmed.
After the lines are ship confirmed, shipment advice is sent back to Order Management with
the details of the shipment.

Additional details about the preceding steps:
• Pick release:
- Routinely run with the appending option
- Attempts to consolidate shipment lines with existing shipments before running the
process to create shipments automatically:
- If consolidation fails (no candidate shipment to append is found), then
shipment lines go through the standard autocreate shipment process.
- If consolidation is successful, then the shipment line is automatically added to
the shipment and a shipping exception is logged against that shipment.
• Shipments are staged.
• Shipments are shipped confirmed.

Practice: 27-1
Confirming Shipments


Summary

• Describe ship confirmation key concepts
• Demonstrate one-step shipping
• Define a ship confirmation rule
• Explain shipping parameters


28
Conclusion

Part 9: Conclusion
Implementation

Order-to-Cash Flow
Manage, View, Schedule Pick & Ship
& Enrich
Order

Order Global Order
Inventory Finance
Bill & Collect
Configure, &
Price Order

Objectives

• Create and submit an order for a standard product
• View fulfillment lines of an order
• View the orchestration plan for the lines on an order

The purpose of these practices is to view all the changes you have made to the setups
throughout the course. You can compare this order fulfillment to the first order that the
instructor created.

Practice: 28-1
Creating and Submitting a Sales Order for a Standard Product

You will create and submit a sales order for a standard product.

Practice: 28-2
Viewing Fulfillment Lines and Orchestration Plan

You will search for an existing order, navigate to the fulfillment view, and check the
orchestration plan for the lines on an order.

Summary

• Create and submit an order for a standard product
• View fulfillment lines of an order
• View the orchestration plan for the lines on an order


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Oracle SCM Cloud: Order

Student Guide - Volume II

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6 Shipping Charge Lists

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9 Change Order Processing

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11 Order Promising Rules: Sourcing Rules and ATP Rules

12 Key Order Promising Functionality

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13 Data Collection and Global Order Promising Administration

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16 Orchestration Process Definitions

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18 Change Management and Process Assignment

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20 Processing Constraints, Approvals, and Hold Codes

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22 Extending Order Management

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24 Shipping Basic Setup

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Oracle SCM Cloud: Order Management and Fulfillment Cloud Implementation 16 - 2

After completing this lesson, you should be able to:

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This section discusses the different task types in Order Management.