R12 Payment Manager (New Module)

11i Payment Workbench is replaced with Oracle Payments Oracle centralized all disbursement activities into one application to reduce redundancy across

the apps Oracle Payments also manages the interfaces between E-Business Suite products and financial

institutions such as banks and credit card processors Utilizes a dashboard to guide users to take actions on payments Utilizes payment templates that have the ability to fully automate the payment process from

selection of invoices, to printing or electronic transmission

Payment DashboardMonitor the progress of the recent pay run processesHighlight any payment processes that require attention and automatically prompt to take appropriate actionsShortcuts and tabs for initiating, reviewing and adjusting proposed funds disbursements.

Payment Templates1. Templates provide a way to store section criteria, payment attributes, and processing rules that

can be reused for single pay runs or scheduled pay runs.2. EBS will update the dates based on information in the template

Pre-defined payment instructions Includes the invoice selection criteria Includes instructions on how validation failures are going to be handled.

Payment Submission R121. Select Payment Template2. Run Cash Requirements Report <optional>

a. By Submitting Single Request by Entering Payment Process Name <similar to Batch Name in 11i>

3. View Selected Invoices onlineb. Oracle will automatically generate the Scheduled Payment Selection Report Which is the equivalent to the Preliminary Payment Register in 11i

4. Add Invoices, Update Amounts or Unselect Invoices to be paid5. Submit Payment6. Format Payment7. Print/Transmit Payments8. Confirm Payments9. Run the Payment Register

Multi-Org Access Control’ (MOAC)Multi-Org or multiple organization access (MOAC) is basically the ability to access multiple operating units from a single application responsibility. In Release 11i, when one had to enter or process data for multiple operating units, one had to login to different responsibilities because each responsibility could only access one operating unit. If one was managing Payables for Sweden, Norway and Finland one needed to define three different responsibilities. In Release 12, one would create a Security Profile and assign as many operating units as you required. One can tie that security profile to a single responsibility using a profile option called “MO: Security Profile”.

Benefits of MOAC_• Access multiple operating units within a single application responsibility• Responsibilities are assigned a Security Profile which is a group of Operating Units• Assignment is through the profile option ‘MO: Security Profile’ set at the Responsibility Level• MOAC Setup includes-

• Define Operating Units in HR• Define Security Profile composed of Operating Units• Run Security List Maintenance Program• Assign Security Profile to Profile Option• Profile Options

• MO: Operating Unit - Used when Multi-Org is NOT enabled - On upgrade, assigned operating unit of 11i responsibility• MO: Security Profile - Assign security profile name at User or Responsibility level

• MO: Default Operating Unit - Assign default operating unit

R12 General Ledger new feature We can generate simultaneous Accounting for Multiple Reporting Requirements by defining legal

entities and the setup needed to address each accounting and reporting requirement using the Accounting Setup Manager.

Centralized Accounting Setup- is a central location to define accounting-related setup across all financial applications.

Enhanced Reporting Currency Functionality and support all journal sources. Improved Processing Efficiency:

• Simultaneous Data Access to Multiple Legal Entities and Ledgers • Simultaneous Opening and Closing of Periods for Multiple Ledgers • Cross-Ledger and Foreign Currency Allocations • Simultaneous Currency Translation of Multiple Ledgers • Financial Reporting Across Ledgers • Automatic Journal Copy • Streamline Automatic Posting • Streamline AutoReversal Criteria Setup • Streamline Consolidation Mappings • Replacement for Disabled Accounts

Data Security: • Data Security across Legal Entities and Ledgers • Management Reporting Security • Prevent Reversal of Journals with Frozen Sources • Prevent Reversal of Unposted Journals • Control Accounts • Definition and Setup Security

• Auditability for Journal Line Reconciliation • Entered Currency Reporting and Analysis • Foreign Currency Recurring Journals • Intercompany Balancing Support for Encumbrances • Integration with Subledger Accounting • Intercompany feature enhanced: This is now part of Oracle Advanced Intercompany System product. • Account Analysis and Drilldown is a new web-based interface that allows to easily review and analyze general ledger financial data. • GL Standard Reports Integration With XML Publisher • New Terms: Ledger replaces Set of Books. A group of Ledger is called Ledger set, in a Ledger Sets, user can simultaneously-

• Open/Close Periods• Create Journals• Translate and Revalue Balances• View Information• Submit Standard Reports • Submit Financial Statements

Sub Ledger Accounting Flow Chart

Accounting Setup Manager in R12- There is a single page for setups-

R12 Account Payables new feature Legal Entity: New addition to the Oracle E-Business Suite that enhances the ability to manage one’s

legal corporate structure and track data from the legal perspective. Multi Org Access Control (MOAC) enabled. Suppliers in the Trading Community Architecture (TCA)-Supplier are now part of TCA like Customer. New User Interface for Supplier Entry and Maintenance: This new user interface presents a clear

distinction between the supplier’s company details and terms and controls for the trading relationship. Supplier Bank Accounts: Enhancements to the setup of supplier bank accounts remove some

processing restrictions and achieve greater control and security. Introduction of Invoice Lines: AP incorporates Invoice Lines into the invoice model and enhanced

Asset Tracking. Invoice Processing for Contract Financing, Retainage, and Progress Terms: Complex payment terms

and conditions for fixed price contracts is now captured during the procurement contract flow. Enhanced Invoice Approval includes Line level approval Non PO Invoices Entered via iSupplier Portal Collaboration with Suppliers to Resolve Disputes Oracle E-Business Disbursement Requests are requests to make a payment to a company or

individual that is not a supplier. More Robust and Flexible Payment Processing Engine. Accounts Receivable / Accounts Payable Netting. Integration with Subledger Accounting.

R12 Account Receivable new feature Partial Period Revenue Recognition- enables the generation of revenue recognition schedules that

respect the start and end dates of contractual obligations. Event-Based Revenue Management allows users to define revenue deferral reasons and

corresponding revenue recognition events. COGS and Revenue Matching: new COGS and Revenue matching feature satisfies this matching

principle by synchronizing the recognition of revenue with the recognition of associated COGS. Enhanced Payment-Based Revenue Recognition: Feature achieves payment based revenue

recognition by associating transaction lines with revenue impacting contingencies. Oracle Receivables is fully integrated with Oracle Payables to deliver a seamless, automated process

to generate check and bank account transfer refunds. Balance Forward Billing is enhanced version of the existing consolidated billing functionality for

industries where customers are billed for all their account activity on a regular, cyclical basis.o Enable billing policies consistent with organizational needso Improved communication with Customero Enhanced viewing and printing of billso Better integration with feeder systemso Fewer processes to manage o Synchronize bills with Aging

Enhanced Late Charges functionality enabling the creation of standard late charge policies that can be assigned to customer accounts or account sites.

Multi Org Access Control (MOAC) enabled. Integration with Subledger Accounting Receivables Reconciliation Enhancements: Easily reconcile receivables using enhanced reporting. Bills of Exchange Obsolescence: The Bills of Exchange feature is obsolete and replaced by the Bills

Receivable feature. Trade Accounting Obsolescence: The Oracle Trade Accounting feature is obsolete and replaced by

Oracle’s Deduction Management solution.

Setting up late charge documents in R12- Record the Late Charges as one of the three document types:

1. Interest Invoice2. Debit Memo3. Adjustment

For Interest Invoice and Debit Memo, we need to define Transaction Source and Transaction Type and for Adjustment, define a receivable activity of the type “Finance Charges”.

R12 EbTax (New Module)

Provides the infrastructure for transaction tax knowledge management and delivery using a global system architecture that is configurable and scalable for adding country specific tax content.

Modules Integrated with EB Tax: • Oracle Purchasing • Oracle Internet Procurement • Oracle Receivables • Consigned Inventory • Oracle Payables • Oracle Intercompany Invoicing • Oracle Order Management • Oracle Trade Management • Oracle Services Contracts • Oracle Order Capture/iStore/Quoting • Oracle Internet Expenses • Oracle Project Accounting • Oracle General Ledger

Users using a subscription model can share the tax setup. The owner of tax setup data is defined as a Configuration Owner and can be an Operating Unit or a Legal Entity.

Tax Events model allows E-Business Suite applications to map their various documents and actions across applications into corresponding tax event classes and tax event types.

Tax Configuration Manager-This component is responsible for creating and maintaining the structural foundation of tax, the building blocks.

Tax Determination Services: This component calculates transaction taxes based on transaction details and tax setup information.

Centralized Tax Record Repository for Audit and Reporting 1. Tax Reporting: Tax Reporting is flexible enough to provide data in a user-friendly format that

allows the standard and identified country specific requirements to be met. 2. Tax Simulator: This user interface help the tax manager simulate the effect of a new rule or new

‘incremental’ setup data, such as a new tax rate. 3. Guided Configuration: Enables a tax manager, i.e., an expert in the domain of tax, to configure

the system to meet the tax requirements in one or more countries. Additional Enhancements incudes-

• Deferred Tax in Payables • Enhanced handling of Tax on Freight • Sales and Use Tax in procurement • Enhanced exemptions and exceptions • Multiple Tax Registrations • Multiple Recovery types • Tax reporting codes • Cash as well as Accrual Basis reporting for tax • Enhanced handling of Tax on Intercompany Movements

R12 Cash Management new feature

New model provides a single access point for defining and managing internal bank accounts for AP, AR, Oracle Payroll, Oracle Cash Management and Oracle Treasury.

Each bank account is associated with a Bank and Bank Branch defined in Oracle’s common Trading Community Architecture (TCA).

Multi Org Access Control (MOAC) enabled for CM. Subledger Accounting: available for setting up accounting rules and for generating journal entries

related to Cash Management transactions. New Bank account balance types are supported for all internal bank accounts. Users are able to track

closing ledger and available balances as well as month-to-date and year-to-date averages. Bank Account Transfers: Earlier available in Treasury only. Cash Pooling: Earlier available in Treasury only. Bank Statement Accounting: Allows users to define mapping rules that can automatically create and

reconcile transactions in Oracle Cash Management based on reported prior-day bank statement lines. This was also available in Treasury in 11i.

Bank Account Signing Authorities: Users are able to indicate single and joint signing limits for each bank account as well as signer group categories, effective dates, approval status, and other relevant information. Was available in Treasury.

Cash Positioning Intra-day Activities: Provides additional flexibility in how users view intra-day bank statement activity in their cash positions. Was available in Treasury.

R12 Fixed Asset New Feature

o Sub Ledger Accounting Architecture and Inquiries

o Enhanced Mass Additions for Legacy conversions

o Automatic Preparation of Mass Additions

o Flexible Reporting using XML publisher

o Automatic depreciation rollback

o Enhanced functionality for Energy industry

SLA

o Oracle Assets is fully integrated with SLA, which is a common accounting platform for Sub Ledgers

o We can use the seeded Account Derivation definitions or modify them as required

o SLA supports Account Generator functionality for existing Asset Books

o Supports new SLA Accounting report and online account inquiry

o Many attributes have been added to the FA MASSADDITIONS interface table, including:

Asset life

Depreciation method

Prorate convention

Bonus rule Ceiling name

Depreciation limit

Oracle Web Applications Desktop Integrator (Web ADI) has been enhanced to support the following new columns:

o Depreciation Method

o Life in Months

o Basic Rate

o Adjusted Rate

o Prorate Convention

o Bonus Rule

o Depreciation Limit Type

Customers can populate the values directly

Legacy conversion can be completely automated

o Values can now be imported directly from your legacy system, instead of being derived from asset category setups

Mass Addition

o Consist of default rules and Public APIs that can be used by customers to complete the preparation of mass addition lines automatically

o Auto populate required fields such as Expense Account, Asset Category, and others

XML reporting is available for the many asset reports

o Asset Transfers Report

o Transaction History Report

o Asset Reclassification Report

o Mass Additions Create Report

o Cost Adjustment Report

o Cost Summary Report

o CIP Summary Report

o Reserve Summary

o Journal Entry Reserve Ledger

o Asset Additions Report

o CIP Capitalization Report

o Mass Additions Posting

o Asset Retirements

o Depreciation is rolled back automatically by the system when any transaction is performed on an asset if the following conditions are met:

Depreciation has been processed in that period and

The period is not closed

o You are no longer required to run the depreciation rollback program manually

o Depreciation rollback is executed only on select assets as required and not on the entire Asset Book