Copyright Oracle Corporation, 2002. All rights reserved.

Fundamentals of Multi-Org

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Objectives

After completing this module, you should be able to do the following: Explain what Multi-Org is Explain the Multi-Org entities Explain how data is secured Explain cross organizational reporting Identify key implementation considerations

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Agenda

Understand what is meant by Multi-Org Understand the types of organizations supported

in the Multi-Org model Understand organizational models Understand how Multi-Org secures data Understand reporting across entities Understand key implementation considerations

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What Is Multi-Org?

Applications and database enhancement Allows you to consolidate your operations under

one installation of Oracle Applications on a single global instance

Allows you to keep transaction data secure by line of business

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Support for multiple business units even if they use a different set of books

Secure access to data on a single instance by line of business

Define different organizational models

Basic Business Needs

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Sell and ship from different legal entities Procure and receive from different legal entities Produce reports across entities or within a single

entity

Basic Business Needs (Cont.)

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Agenda

Understand what is meant by Multi-Org Understand the types of organizations supported

in the Multi-Org model Understand organizational models Understand how Multi-Org secures data Understand reporting across entities Understand key implementation considerations

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GL, FA

AP, PO,AR, OM, +

INV, MFGShip

Balancing Entity/Funds

HR

Inventory Organization

Operating Unit

Legal Entity

Set of Books

Business GroupBal Seg 1

Bal Seg 2

Flexfield Security Rule

Organization Model

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Business Group

HRBusiness Group

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Set of Books

GL, FA

HR

Set of Books

Business Group

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Legal Entity

GL, FA

HR

Legal Entity

Set of Books

Business Group

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Operating Unit

GL, FA

AP, PO,AR, OM, +

HR

Operating Unit

Legal Entity

Set of Books

Business Group

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Balancing Entity

GL, FA

AP, PO,AR, OM, +

HR

Operating Unit

Legal Entity

Set of Books

Business GroupBal Seg 1

Bal Seg 2

Flexfield Security Rule

Balancing Entity/Funds

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Balancing Entity Examples

C1

LE1

C2 2010

LOB 1

LE1

LOB 2

10 3020

12

3

Div 1

LE1

Div 2

10

10

30

20Balancing segment values

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Inventory Organization

GL, FA

AP, PO,AR, OM, +

INV, MFGShip

HR

Inventory Organization

Operating Unit

Legal Entity

Set of Books

Business GroupBal Seg 1

Bal Seg 2

Flexfield Security Rule

Balancing Entity/Funds

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LELELELE

Set of Books

IOIO

OUOU OUOU

IOIO IOIO

OUOU

IOIOIOIO IOIOMIOMIO

Sample Organization Structure

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Agenda

Understand what is meant by Multi-Org Understand the types of organizations supported

in the Multi-Org model Understand organizational models Understand how Multi-Org secures data Understand reporting across entities Understand key implementation considerations

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UsersUsers ResponsibilitiesResponsibilities Operating UnitOperating

Unit

Select Tiedto an

Security Model

The responsibility is key to multi-org security and reporting Determines operating unit Determines reporting ability

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Data Security by Application

Application Partitioned By Secure

GL GL Set of Books Yes

FA Corp Book Yes

HR Business Group Yes

OM, AR, AP, PO, CE, PA, AS, SC

Operating Unit Yes

INV, MFG Inventory Organization Yes

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Singapore

OperationsUS

New York

Supplier ABC Corporation

Address 1: New York, NY

Address 2:Orlando, FL

Address 3:Green Bay, WI

Address 1: Austin, TX

Address 2:New York, NY

- Note the separation of supplier sites by OU

Global Registries

DistributionSNG

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Agenda

Understand what is meant by Multi-Org Understand the types of organizations supported

in the Multi-Org model Understand organizational models Understand how Multi-Org secures data Understand reporting across entities Understand key implementation considerations

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Cross Organization Reporting

Report at multiple levels

Set of Books

Legal Entity

Operating UnitSecurity Profile

MO: Top Reporting LevelReport Parameters

Reporting Level

Reporting Context

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Organization Reporting OptionsSet of Books

MO: Top Reporting Level set to Set of Books

Reporting Level parameter set to Set of Books

Reporting Context parameter set to SOB1

Connected as OU1 responsibility (shown by arrow)

OU1Op Unit

LE1 Legal Entity

OU2Op Unit

OU3Op Unit

LE2 Legal Entity

SOB1 Set of Books

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Organization Reporting OptionsLegal Entity

MO: Top Reporting Level set to Legal Entity

Reporting Level parameter set to Legal Entity

Reporting Context parameter set to LE2

Connected as OU1 responsibility (shown by arrow)

OU1Op Unit

LE1 Legal Entity

OU2Op Unit

OU3Op Unit

LE2 Legal Entity

SOB1 Set of Books

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Organization Reporting OptionsOperating Unit

MO: Top Reporting Level set to Operating Unit

Reporting Level parameter set to Operating Unit

Reporting Context parameter set to OU3

Run report as OU3 responsibility (shown by arrow)

OU1Op Unit

LE1 Legal Entity

OU2Op Unit

OU3Op Unit

LE2 Legal Entity

SOB1 Set of Books

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Cross Organization Reporting Key Benefits

Ability to report across operating units for many reports

Simple reporting security setup Financial reporting across business groups Multi-Org reporting API for custom reports

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Agenda

Understand what is meant by Multi-Org Understand the types of organizations supported

in the Multi-Org model Understand organizational models Understand how Multi-Org secures data Understand reporting across entities Understand key implementation considerations

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Basic Steps to Enable Multi-Org

Define organization structure Convert to Multi-Org Perform setups unique to each operating unit (ie.

Financials options, customer address setup, supplier site setup, bank accounts)

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USUS

USUS

ChicagoChicago

JapanJapan

JapanJapan

CorporateCorporate

CanadaCanada

CanadaCanada

EastEastTokaraIslandsTokaraIslands

Inventory

CalgaryManufacturing

QuebecManufacturing

MontrealInventory

Warehouse

WestWest

Define the Organization Structure

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Convert to Multi-Org

Run ADADMIN to convert to Multi-Org Run Seed Data Replication for one or more

operating units

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Perform Setups Unique to Each Operating Unit

Many setups must be repeated for each operating unit. For example: Supplier sites Customer addresses System options (System, Financial, Purchasing,

Payables, etc.) Payment terms Tax names Price lists, discounts and quantity price breaks

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West Ops(OU)

Plant 1(IO)

Wid Co.(SOB)

Plant 1(IO)

Wid Co.(SOB)

EastOps(OU)

Plant 2(IO)

US 1(LE)

US 2(LE)

WestOps(OU)

US 1(LE)

Adding to the Organization StructureOriginal Add New

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Organization Naming Considerations

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Organization Naming Considerations (Cont.)

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Summary

In this lesson, you should have learned how to: Explain what Multi-Org is Explain the Multi-Org entities Explain how data is secured Explain cross organizational reporting Identify key implementation considerations

Fundamentals of Multi-OrgObjectivesAgendaWhat Is Multi-Org?Basic Business NeedsBasic Business Needs (Cont.)Slide 7Organization ModelBusiness GroupSet of BooksLegal EntityOperating UnitBalancing EntityBalancing Entity ExamplesInventory OrganizationSample Organization StructureSlide 17Security ModelData Security by ApplicationGlobal RegistriesSlide 21Cross Organization ReportingOrganization Reporting Options Set of BooksOrganization Reporting Options Legal EntityOrganization Reporting Options Operating Unit Cross Organization Reporting Key BenefitsSlide 27Basic Steps to Enable Multi-OrgDefine the Organization StructureConvert to Multi-OrgPerform Setups Unique to Each Operating UnitAdding to the Organization StructureOrganization Naming ConsiderationsOrganization Naming Considerations (Cont.)Summary