Tuesday, September 30, 2008

Oracle Cost Management - Standard costing

Standard costing is used by Customers who employ predetermined costs for valuing inventory and for charging material, resource, overhead, period close, and job close and schedule complete transactions. Differences between standard costs and actual costs are recorded as variances.

Manufacturing industries typically use standard costing. Costs of items can be shared across organizations using standard costing.

The unit cost of any item is the sum of the costs of all the cost elements.
There are 5 cost elements, which are defined as follows:

1. Material -- The raw material/component cost at the lowest level of the bill of
material determined from the unit cost of the component item.

2. Material Overhead -- The overhead cost of material, which can be used for any costs attributed to direct material costs.

3. Resource -- Direct costs, such as people (labor), machines, space, or miscellaneous charges, required to manufacture products.

4. Overhead -- The overhead cost of resource and outside processing, which is
used as a means to allocate department costs or activities.

5. Outside Processing -- This is the cost of outside processing purchased from a supplier.

Sub-elements can be used as smaller classifications of the cost elements. Each cost element must be associated with one or more sub-elements. An amount or rate is attached to each subelement.

Oracle Purchasing - 5 questions

1. When a supplier site is defined as a purchasing site, on which 4 documents would it be available on the supplier list of values?

2. Which are the 4 setup steps for an employee-supervisor approval hierarchy?

3. What should be taken care before closing the Purchasing period?

4. Which accounts are set in Receiving options?

5. Which are the profile options that are required before setup of sourcing rules?

Sunday, September 28, 2008

Order Management - Copy Sales Order

You can facilitate the creation of a new order or a new return by copying information from an existing order or return. You can specify how much information to copy from one order or return to another. Copy an order or return at any stage in the order life flow including entering, booking, shipping, closed, and cancelled. The Multi-select feature allow you to multi-select multiple order or return records.

Friday, September 26, 2008

Oracle Pricing - Pricing Engine

The pricing engine receives transaction information, prepares pricing requests, selects price lists and modifier lists, and applies price adjustments (modifications/benefits) to the transaction.

The pricing engine answers the following questions as it determines a price:

- Who qualifies for prices and benefits?
- What is the product hierarchy and what pricing attributes pertain to this item or service?
- How should I adjust the order price or order line price?

Monday, September 22, 2008

Oracle Pricing - Pricelists

A Price List is one component in the Pricing Model used to price an item on a sales orders. Basic information includes the price list name, effective dates, currency, pricing controls, rounding factor and shipping defaults such as freight terms and freight carrier.

Price lists can have

a) Prices for specific product and services
b) Prices as absolute values, percents of other prices, or as formulas
c) Prices as applicable to the entire organization or to one operating unit
d) Negative prices

Monday, September 15, 2008

5 Questions - Purchasing

1. What is 2-way, 3-way, 4-way matching? How is this set up?

2. How do you reflect discount from a supplier on a Purchase orders?

3. How do you change the created date on a Purchase Order?

4. When do you see the status of a Purchase order as Archived?

5. What does the error 'APP-50022: Oracle Human Resources could not retrieve a value for User Type profile option' mean?

Thursday, September 4, 2008

Three Questions

1. Which entity should be defined first, the "routing" or "BOM"?

2. What are the pre-requisites for Routing define?

3. What is the use of "Department" on the routing?

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