5_02_Burns_oralce_iprocurements pres.ppt

oracle iprocurement

1. <Insert Picture Here>
R12 Procurement

2. Agenda
•What is new in R12 Purchasing and iProcurement
•Intro to Sourcing, Procurement Contracts, iSupplier
Portal
•Q&A

3. iProcurement R12 enhancements
•Enhanced catalog authoring
•Difference summary for catalog changes
•Unified catalog
•Approval, revision control and archive for catalog data
•Content security –content zones
•Advanced approval support -OAM
•Position hierarchy based approvals
•Parallel approvals
•Support for FYI notifications
•Graphical display of approval chain
•Enhanced requester driven change order management
•Requester directed sourcing
•Multiple search result layouts –updated paragraph or grid display

4. Procurement R12 enhancements
•Professional Buyers Work Center
•Procurement for Complex Services
•Multi Org Access Control (MOAC)
•E Business Tax
•Document Publishing Enhancements
•Communicate document attachments to suppliers
•OSN –rapid supplier enablement
•Maintain sourcing rules / ASL form agreement items
•Support for contractor purchasing users
•Compliance to packaging conditions
•Auto approval tolerances for change orders
•Model complex pricing for blanket line items
•Advanced approval support for requisitions
•New user interface for purchasing setups

5. Enhanced Catalog Agreement Management
Description
•Catalog Authoring Capability for Buyers, Suppliers and
Catalog Administrators
•Online Authoring and File Upload from Buyer Work Center, iSupplier and
iProcurement Catalog Administration Responsibilities
•Industry standard formats for upload mode including OAG XML, cXML, CIF
and text files, with improved error review process
•Difference Summary for Catalog Changes
•Display changes between the revised vision and the last approved version.
Visual indication for added, changed and delete lines
•Approval, Revision Control and Archive
•Buyer can review difference summary during approval
•Buyer’s acceptance with line level disposition for all changes or only for
those that exceed price tolerance.
•Purchasing Approval Hierarchy, Revision Control and Archival capabilities
are added to catalog content
•Real-time catalog update
•Extractor will be obsoleted.

6. Enhanced Catalog Agreement Management
Overview
Catalog
Approve
iSP
Supplier
Sourcing
Sourcing
Professional
Award
PBWC
Buyer
Bulkload /
Online
author
iP Admin
Catalog
Admin
PO
Buyer
iP
Requester
External
Supplier Sites
Definitions:
Buyer -Purchasing user
Supplier -Supplies goods or services to the buying organization
Catalog Administrator -Performs catalog related activities within the buying organization

7. •Improve Catalog Management
•Reduce the buying organization overhead in catalog
management
•Buyers can delegate catalog management to suppliers and
catalog administrators
•Online catalog authoring for quicker catalog update
•Difference Summary to highlight the changes
•Version control of catalog data
•Streamline catalog creation and management
•Catalog perpetually up-to-date and based on real-
time data
Enhanced Catalog Agreement Management
Benefits

8. Content Security Enhancements
Description
•Control What Catalog Content To Show
•Catalog Administrators can partition local catalog content into
Local Content Zones based on items’ Supplier, Supplier Site, Item
Category and Browsing Category information.
•Support for inclusion and exclusion rules.
•Ability to include Inventory items.
•Once defined, Content Zones may be made accessible to users of
specific Responsibilities or Operating Units.
•Content Zones may be assigned to multiple Stores.
•Stores may contain multiple Content Zones.

9. Content Security Enhancements
Partition Content
•Release 12 Content Zones Replace 11.5.10 Catalogs.
•All Content Zones Support Operating Unit or Responsibility
Security.Catai
Cata
Catalog Smart Forms
Content Zone
Realms
11.5.10 Release 12

10. iProcurement –Content Security
What’s New?
Category
Supplier
....
Supplier Y
Supplier X
Category
A
Category
B
Category
C …
•The rules:
•Include items from
supplier X
•Include items from
category C
Correspond to the red
block
of available content.
Example:Local Content Inclusion Rule

11. iProcurement –Content Security
What’s New?
Category
Supplier
....
Supplier Y
Supplier X
Category
A
Category
B
Category
C …
•The rules:
•Exclude Supplier X
•Include Category A
•Include Category C
Results in redblocks of
available content.
•Exclusion is useful when
we need to exclude a single
Supplier (e.g., X) from many
others (e.g., A-Z).
Example:Local Content Exclusion and Inclusion Rules

12. iProcurement –Content Security
What’s New?
Include specific suppliers
Include specific categories
Make content accessible to
specific user groups
Let’s Look at how category rules are defined:

13. iProcurement –Content Security
What’s New?
Create Category Specific
Stores (e.g., Legal Forms
and Services) by creating
one or more category
specific Content Zones
Include content for some
users (e.g., Buyers) that
should not be available to
the general public (e.g.,
Novice Requesters).
Example: Include Specific Categories (local content):

14. iProcurement –Content Security
What’s New?
Include specific
suppliers
Include specific categories
Make content accessible to
specific user groups
Let’s Look at how supplier rules are defined:

15. iProcurement –Content Security
What’s New?
Include items on GBPA,
BPA, Quotation, Requisition
Templates from specific
suppliers.
Segregate Inventory and
Externally Sourced content
into separate Stores by
creating multiple Content
Zones with different
inclusion settings.
Example: Include Specific Suppliers (local content):

16. iProcurement –Content Security
What’s New?
Include specific suppliers
Include specific categories
Make content accessible
to specific user groups
•Once content rules have been completed, the Content Zone
may be assigned to all, or some, users:

17. iProcurement –Content Security
What’s New?
Assign Content Zone to specific
Responsibilities, Operating Units,
or all Users.

18. •Increase Security
•Inclusion and Exclusion rules provide more control over
content.
•Responsibility and Operating Unit assignments enable
specific user sets to access specific catalog content.
•Improve Usability
•Single feature-set replaces and enhances functionalities
previously provided by Realms, System Profiles, Catalogs,
and Extractor.
Content Security Enhancements
Benefits

19. Requester Driven Change Order Mgmt
•Change Order Approval and Routing Based on
Tolerances
•Requester’s and Supplier’s changes are routed to the
requester’s approval hierarchy
•PO changes are routed to to buyer for approval
•Bypass approval for changes within tolerances

20. Requester Driven Change Order Mgmt
Benefits
•Enhanced Requester Driven Change Order
Management
•Streamlines the Change Order Process
•Tolerances to indicate when a requester initiated change should
be routed to the requester hierarchy for approval
•Tolerances and options to determine the need for buyer’s
approval
•Auto-approval for minor changes
•Flexible Tolerances
•Simple user interface for managing tolerances instead of using
workflow attributes
•Minimum/Maximum increment by amount or percentage
•Multiple attributes: document amount, unit price, line amount,
need by date, promise date

21. Usability Enhancements
•Search & Browse within Stores
•Paragraph and Grid Layouts
•Grid Format –allows requesters to differentiate between
similar items effectively.
•Item Details and Comparison Page Layout Enhanced
•Create and maintain multiple Favorites Lists.
•List of Values (LOVs) capability are enhanced.
•Provides users with tools to find the values they are looking
for easily and effectively
•Enhancements include:
•Sorting Capability
•Expanded Search Criteria

22. Usability Enhancements
Paragraph Search Skin
2 column layout ensures
sufficient spacing with
item image
Price, UOM and action buttons
appear on last rows of each
item description
Images may be hidden.
When they are hidden,
three columns of
descriptors appear

23. Usability Enhancements
Paragraph Search Skin
3 columns format
allows more
information to be
displayed

24. Usability Enhancements
Search Skins –Grid Format
The grid format allows users to differentiate between
similar items more effectively.

25. Usability Enhancements
•Advanced Approvals Enhancements
•Parallel Approvals
•Notifications are sent out to multiple people
simultaneously to speed up the approval process
•Support for Viewers
•FYI notification, approval is not needed
•Position Hierarchy Support
•Graphical Approval Path UI Display

26. Advanced Approvals Enhancements
Example –Approval List
•A requisition for furniture totaling $4,500 is created. The req will need to be
approved by the position hierarchy chain and the Facilities Management
Group.
Parallel Approval
Takes you to add
approver/viewer,
delete approvers

27. Advanced Approvals Enhancements
Example –Add Viewers
Option to add Viewers to the
Approval List

28. Advanced Approvals Enhancements
Example –Add Viewers
Viewer

29. Usability Enhancements
Benefits
•Increase Flexibility
•Users can specify their search results layout preference: Paragraph or
Grid
•Users can maintain and manage multiple favorites lists
•Users have more options when searching using List of Values (LOVs)
•Improve Ease of Use
•Updated user interface provides requesters with more intuitive and user-
friendly layout
•Allows users to identify desired information quickly

30. Usability Enhancements
Benefits
•Speed up Approvals Process While Still Maintaining
Oversight
•Requisition can be routed to multiple approvers simultaneously
•Increase Flexibility for Setting up Approval Routes
•Voting Regime allows enterprises the flexibility in defining approval rules
•Reduce Setup Efforts
•Approval rules can be defined once and be leveraged across multiple
products, requiring less maintenance work
•Provide Intuitive Graphical View of Approval List
•Graphical View for Approval List provides users with quick view of the
approval list and status

31. Oracle Purchasing –Delta Summary
•Professional Buyer’s Work Center
•Enhanced Catalog Access
•Document Styles
•Multi-Org Access Control
•Document Publishing Enhancements
•Communicate Document Attachments to Suppliers
•Maintain Sourcing Rules/ASLs for Agreement Items
•Complex Services Procurement
•Support for Contract Purchasing Users
•Supplier Packaging Constraints
•E-Business Tax
•Model Complex Pricing for Blanket Line Items
•Mass Re-pricing of Purchasing Documents
•Auto-Approval Tolerances for Change Orders

32. Professional Buyer’s Work Center
Feature Description
•Requisitions
•View and Process Requisitions into Orders or Sourcing Events
•Orders
•Create and Manage Purchase Orders
•Agreements
•Create and Manage Blanket and Contract Purchase Agreements
•Deliverables
•Manage Procurement Contract Deliverables
•Negotiations
•Access Oracle Sourcing
•Suppliers
•Create and Manage Supply Base

34. Professional Buyer’s Work Center
Customization and Extensibility Options
•Customers can create custom views using personalization
feature in all inquiry pages.

35. •Increases Productivity
•Central Place for Buyers to Perform Day-to-Day Tasks
•Optimized for Shared Service Centers
•Streamlined Interface Increases Efficiency
•Pre-Seeded or Custom Views for quicker access to information
and prioritize tasks
•Designed for Procurement Professionals, the PBWC
Combines Ease-of-Use with Power Capabilities to Track,
Manage and Control all Strategic and Tactical Activities.
Professional Buyer’s Work Center
Benefits

36. Enhanced Catalog Access
Feature Description
•iProcurement like Search Capabilities for Purchasing Users
•Add Catalog Items to Purchase Orders and Agreements
•Replace non-catalog requests with lines from the catalog

37. Document Styles
Feature Description
Enable/Disable
Features
Assign Display Names
to Document Types

38. Document Styles
Implementation Considerations
•Document Styles is a new concept in Release 12. It is a configuration tool that reduces the
complexity of the application by allowing procurement managers to control the available
functionality and the display of PO documents.
•A document style is mandatory on a PO document. The style setting controls the document
display on the HTML UI for document creation, update, and viewing of individual document, as
well as the allowable values during the document creation and update.
•A style can only be applied at the start of document creation. It cannot be replaced with
another style or removed from a document.
•Standard Style: This will be the only seeded style and will be used for upgrade of the documents created
prior to R12.
•Non-standard style:
•Any new styles created in R12 are considered non-standard.
•Purchasing documents with these styles can only be created and
processed through the Work Center.

39. Multi-Org Access Control
Feature Description
OLD PROCESS
Application
Responsibility A
Operating unit X
Application
Responsibility B
Operating unit Y
Application
Responsibility C
Operating unit Z
NEW PROCESS
Application
Responsibility A
Operating unit Y Operating unit ZOperating unit X

40. Multi-Org Access Control
Implementation Considerations
•New Profile Options
Entire Purchasing functionality requires the Multi Org Access
Control (MOAC) setups to be configured correctly. The following
new profile options need to be set for MOAC
•MO: Security Profile-the group of operating units that
can be accessed in HTML Orders
•MO: Default Operating Unit-the default OU that should
be used when creating new POs.
•If customer is not leveraging MOAC, they can continue to use R11i
profile option ‘MO: Operating Unit’.
•Select Human resources responsibility to create the security profile
(Security -> Global Security Profile (Function PERWSSCP-GLOBAL)

41. Document Printing Enhancements
Feature Description XML PublisherXML Publisher XSL-FO
Purchasing
XML
Purchasing
Layout
PO Output
11.5.10 XML PublisherXML Publisher XSL-FO
Purchasing
XML
Purchasing
Layout
PO Output
in Multiple Formats
Release 12
New in
Release 12.0
New in
Release 12.0

42. Communicate Document Attachments
to Suppliers
Attachment Type
11i10 and
Before
r12
Notes to Supplier
Long/Short Text
Files (e.g. MS Word, Drawings)
URLs

43. Maintain Sourcing Rules/ASLs for
Agreement Items
•New Concurrent Program Introduced
•Designate agreement usage in Specific
Regions or Plants
•Extend rule effectivity after renewing
Blanket Agreements
•Maintain rules for all Operating Units
enabled to buy off an Agreement

44. Support for Contractor Purchasing
Users
Feature Description
•Allow Contingent Workers to Participate in Purchasing
Activities
•Raise and Approve Requisitions
•Create, Maintain, and Approve Purchase Orders
•Receive Goods and Services
•New Profile Option
HR: Expand Role of Contingent Worker
Profile ValueDescription
Yes
Allow Contingent Workers to Create and Approve
Purchasing Documents
No
Do Not Allow Contingent Workers to Create and
Approve Purchasing Documents

45. Compliance to Packaging Constraints
REQIMPORT
Min-Max
PURCHASE ORDER
New Process
Inventory
SUPPLIERS
Purchasing
1. Min-max creates
Replenishment Request
for 116 Eaches
3. PO placed for 10
cases of 12
4. PO complies to
Supplier packaging
constraints
2. Apply Constraints
•Order Modifier
•UOM Conversion
•Rounding
New Quantity = 10
New UOM=Cases of 12

46. E-Business Tax Integration
Feature Description
Prior toE-Business Tax
•Basic tax setup –tax codes
and tax groups
WithE-Business Tax
•Comprehensive solution
addressing complex tax
requirements
•Single point tax solution across
E-Business Suite
–Single interface: tax setup
and 3
rd
party integration
–Uniform services
–Single repository
•Fragmented tax solution
across E-Business Suite
modules
–Multiple tax engines
–Duplicate tax setup
–Fragmented data storage
–Duplicate 3
rd
party
integration
Note: Please refer to the e Business Tax TOI for more information on this feature

47. Requisitions
Blanket
Agreement
Pricing
Transactions
Orders
Pricing Engine
Oracle
Advanced Pricing
Line Price
Price Break
Custom API
Price List
Formula
Modifiers
Leverage Oracle Advanced Pricing
to model Complex Pricing Scenarios
Model Complex Pricing for Blanket
Line Items
Benefits
•Bring Agreements with Complex Pricing Requirements Online
•Accurate Pricing of Transactions without the need for Manual Overrides
•Decrease Supplier over billing
•Save Cost by ensuring all available discounts are applied

48. Blanket Purchase
Agreement
Mass Re-pricing of Purchasing
Documents
Feature Description
Advanced Pricing
Price Lists, Modifiers
Custom Pricing API
Orders
New in
Release 12.0
Revise Pricing
Data

49. Auto-Approval Tolerances for Change
Orders
New tolerance
attributes introduced
Set tolerances by
document type
Eliminates need
for Workflow
Customizations

50. Advanced Approvals Support for
Requisitions
Description
•Parallel Approvals
•Notifications are sent out to multiple people simultaneously
to speed up the approval process
•Position Hierarchy Support

51. Advanced Approvals Support for
Requisitions
Parallel Approvals
•In 11.5.10, approvers for a given requisition are
notified sequentially
•To satisfy regulatory requirements (e.g. Sarbanes-
Oxley Act), organizations may need to involve more
approvers
•With parallel approvals, several approvers can be
simultaneously notified for a given requisition, thus
speeding up the requisition approval process
•Parallel approvals can be setup within an approval
group or for individuals

52. Advanced Approvals Support for
Requisitions
Voting Method
•A Voting Method is a way of sequencing the
approvers within an approval group/chain of authority
•Types of voting methods
•Consensus
•All approvers must respond. Approvers will receive
notifications in parallel
•First Responder Wins
•Approvers will receive notifications in parallel, but only the
action of the first approver to respond will be recorded

53. Advanced Approvals Support for
Requisitions
Position Hierarchy Support
•In addition to the Employee/Supervisor Hierarchy
support, the integration with Oracle Approval
Management (AME) also supports Position Hierarchy
•Approval routing structures using positions and
position hierarchies remain stable, even if individual
employees leave their organization, or transfer within
it

54. Advanced Approvals Support
Example
•Business Rules:
•If requisition < $5,000, then requires approvals up to first
two positions up based on position hierarchy
―If the item’s category is [IT.EQUIPMENT] then require
approval from IT Approval Group
―IT Approval Group is in parallel to position hierarchy
approval chain

55. Advanced Approvals Support
Example –Approval List
•A requisition for computers totaling $4,500 is created. The req will need to
be approved by the position hierarchy chain and the IT Approval Group.
Since req total is between 0 and 5000, the first 2
positions up (based on the Position Hierarchy
Rule) is generated
Approval Group returned in
Approval List since Item Category
is [IT.EQUIPMENT]

56. Advanced Approvals Support
Example –Approval List
•A requisition for computers totaling $4,500 is created. The req will need to
be approved by the position hierarchy chain and the IT Approval Group.
Parallel Approval
Takes you to add
approver/viewer,
delete approvers

57. Advanced Approvals Support
Example –Add Viewers
Option to add Viewers to the
Approval List

58. Advanced Approvals Support
Example –Add Viewers
Viewer Icon

59. Advanced Approvals Support
Example –View Req Status
•The Approval Graphical View shows the following:
•Tom Gallant has approved the requisition
•The requisition is currently pending approvals from the IT Approval
Group and Maria Menudo

60. Sourcing At-a-Glance
Buying
Professional
Supply BaseLOB Stakeholder
“Strategic sourcing is emerging as the leading
strategy to control costs, capture innovation,
and maximize performance.”
Identify Suppliers
& Opportunities
Conduct On-
Line Negotiations
Analyze &
Award
Approve &
Issue
Define Strategies
& Negotiations

61. Source More
of Your Spend
Source for
Lowest Total Cost
Create Immediate &
Long-Term Savings
Oracle Sourcing & Sourcing
Optimization
PurchasingContract Mgmt FinanceOperations
Identify Suppliers
& Opportunities
Conduct On-
Line Negotiations
Analyze &
Award
Approve &
Issue
Define Strategies
& Negotiations
Increase the Effectiveness & Efficiency of Strategic Sourcing

62. Efficient Online Negotiations
Slash Cycle Time by Eliminating Manual Processes
View new incoming
supplier messages
and incomplete
tasks
Drill into individual
sourcing events
View responses and monitor
bidding activity in real-time

63. •Use Bid Data to Reduce
Manual Effort
-Knock-out criteria
enforcement
-Automatic bid scoring
-Side-by-side comparison
•Analyze Online for
Faster, Better Awards
-Enable selection of
suppliers, lots, or specific
lines through flexible
awards
-Enforce policy compliance
(e.g., multi-source rqmts,
MBWE suppliers)
•Use Award Summary &
Recommendation
-View award details
-Award approval by
workflow
Facilitated Online Bid Comparison
Make Faster Award Decisions

64. Requirement
s
Weigh
t
Value
(Score)
Quote
990
Respon
se
Score
Are you ISO
certified?
25%
Yes (100)
No (0)
No 0
Number of
years in
business
35%
> 14 (100)
10-14 (75)
5-10 (50)
< 5 (0)
15 35
Number of
shipping
locations
40%
> 19 (100)
11-19 (50)
1-10 (25)
35 40
Total Score Calculated by Oracle Sourcing75
•Automatically eliminate suppliers that score below minimum
requirements
•Automatically exclude non-compliant suppliers from shortlists
Automatic Scoring of Requirements
Quickly Identify the Best Qualified Suppliers

65. Support Compliance and Oversight Requirements
Centralized Terms Library
Ensure Consistent Contract Standards
Central
Terms
Library
•Capture standard contract clauses, variables,
templates and deliverables
•Clearly define enforceable and automated
standard policy and procedure
•Specify document format with flexibility
to accommodate regional variations
•Provide comprehensive revision control via
notification-based workflow with approval rules

66. No
Industry
Segment?
Yes
Add Clauses
•High Value
•Insurance
Over $50k?
CommercialGovernment
Responses Drive
Clause Selection
.
.
.
Template
Contract
Contract
Draft
Expert-Based Authoring
Produce Compliant Contracts
•Configurable rules
drive terms selection
for complex contracts
•Clauses default
based on product,
supplier, contract
value, etc.
•Author high quality
contracts with
minimal legal
supervision

67. Legal Supplier
Automated MS Word Synchronization
Quickly and Accurately Integrate Offline Redline Edits into Contracts
Contract
Administrator
Synchronize
Legal
Review
Supplier
Acceptance
Download
•Streamline internal
collaboration and supplier
negotiation
by allowing key
stakeholders to be involved
in the contract review
process
•Improve contracting
efficiency while
reducing effort
•Minimize errors and risk
from manual updates

68. •Automatically
substitute
negotiated terms
in printed
document
•Easily tailor to
each business
unit’s standard
format –logos,
headers,
layout, etc.
•Generate
standard .pdf
business
document
Automatic Document Generation
Eliminate Manual Re-Keying
Variable Substitution

69. Clause Usage Analysis
Search Contracts To Analyze Clause Usage & Modification
A
l
l
p
o
l
i
c
y
d
e
v
i
a
t
i
o
n
s
a
r
e
r
e
p
o
r
t
•Improved legal discovery on contracts across multiple organizations
•Better insight into effectiveness of current standard language usage
•Enhanced visibility into contract standards requiring revision
Quickly determine
number of incidents
Identify and view
contracts with non-
standard clauses

70. •Based on
contract
T’s & C’s
•One-time and
recurring
•Internal or
external
•Notify
individuals or
groups
•Notify trading
partners
•Track progress
•Indicate failure
or completion
•Attach supporting
documents
•View status
change history
•Define escalation
criteria
•Escalate to
supervisor
•Generate monthly milestone progress reports
•Provide a prototype within 3 months of contract signing
•Perform site visit and inspection
•Provide proof of compliance to industry standards
Example
Deliverables
Define
Deliverable
Send
Notification
Manage
Deliverable
Escalate When
Necessary
Contract Deliverable Tracking
Monitor Supplier Performance

71. •Alert Any Compliance Risk and Highlight Non-Compliance
•Review Compliance Status Before Authorizing Payments
•Track Approval History
Deliverable status
at a glance
Clearly defined
ownership
Track internal commitments
& contractual obligations
Manage Contract Deliverables
Track Contractual Responsibilities and Key Administrative Tasks

72. Prospective Supplier Registration
Reduce Overhead with Self-Service Registration
Supplier Requests
•Use corporate website
to allow interested
prospective suppliers
to register
•Configure qualification
details captured
during registration
•Define req. elements
of supplier profile
•Include customized
questionnaires* as
part of registration
Supplier Registration Review & Approval
•Use request details to
customize approval flow
•Enable approvers to
update details
•Notify suppliers via
email once registration
request has been
approved / rejected
* Requires iSurvey

73. Supplier Management User-Interface
Streamlined Supplier Profile Management
Create supplier
To Do List for requests
Search or drill down to supplier details