R12 Projects Overview

8/3/2019 R12 Projects Overview

1/63

Release 12 Oracle Projects Overview

David Lipinski

Solution Architect


2/63

Purpose:

This document provides an overview of features and enhancements included inRelease 12. It is intended solely to help you assess the business benefits of

upgrading to Release 12.

Disclaimer:

This document in any form, software or printed matter, contains proprietary

information that is the exclusive property of Oracle. Your access to and use of

this confidential material is subject to the terms and conditions of your Oracle

Software License and Service Agreement, which has been executed and with

which you agree to comply. This document and information contained herein

may not be disclosed, copied, reproduced or distributed to anyone outside

Oracle without prior written consent of Oracle. This document is not part ofyour license agreement nor can it be incorporated into any contractual

agreement with Oracle or its subsidiaries or affiliates. This document is for

informational purposes only and is intended solely to assist you in planning for

the implementation and upgrade of the product features described. It is not a

commitment to deliver any material, code, or functionality, and should not be

relied upon in making purchasing decisions. The development, release, andtiming of any features or functionality described in this document remains at

the sole discretion of Oracle. Due to the nature of the product architecture, it

may not be possible to safely include all features described in this document

without risking significant destabilization of the code.


3/63

Project Costing& Project Billing

Initial release - Jan 1992

Manage ProjectFinancials

ResourceManagement

May 2001

Manage ProjectResources

Manage Projects,Enable Collaboration

ProjectManagement

& CollaborationMay 2003

Manage theRight Projects

ProjectPortfolio Analysis

May 2005

Provide EnterpriseInsight

ProjectIntelligence

Oct 2002

Project Accounting to Project Management


4/63

Objectives

Scenarios

Portfolios

Project Approval

Updates

Forecasts

Changes

Billings Capitalization

Progress Documents

Issues

Actuals

Workplans Resources

Budget

Exceptions KPIs

Reports Accounting

Closeout

GlobalProject

Repository

GlobalProject

Repository

Enterprise Project Management with Fp.MManage Full Lifecycle, For All Project Stakeholders

Project Selection & Initiation

Project Reporting & Closeout Project Planning

Project Control Project Execution


5/63

Project Intelligence

ResourceManagement

Accounting &OperationsCollaboration

ProjectManagement

ProjectInitiatives

Personalized

Role-Based Views

Global

Project

Repository

Global

Project

Repository

Integration toE-Business Suite

Oracle Projects Suite

Portfolio ManagementSalesDelivery

Research

ProductDevelopment

Information

Technology

Construction

Marketing

Financials

HR

Time & Labor

Sales

Supply Chain

Documents

MS Project& Excel

Integration toDesktop Tools


6/63

Integrated Work, Resource, and Financials

Streamline Planning, Execution & Control

ResourceSchedule

Rolluppeople

resourcesto create

team roles

Budget

Generatebudget

based onworkplan

resources*Generate

budgetbased on

team roles

ActualsWorkplanProgress

Actualscan beused to

determineprogress

Updateforecastbased onrevisedbudget

Update

forecastbased onprogress(ETC, %

Complete)

Updateforecastbased onactuals

Workplan FinancialForecast

Generate

forecastbased onworkplan

or scheduledteam roles

Performance

Analyze metrics,Comparing Actuals

vs. Budget vs.

Forecast


7/63

Standardize Project Creation ProcessFrom Very Simple to Complex Projects

Key Capabilities:

Leverage project templates or past projects

Assign resources (both labor & non-labor)at the task level

Unlimited WBS

Integration with Microsoft Project for Schedulingand Progress Tracking/Updates

Track Project Deliverables Use workflow to streamline approvals and phase

gate processes

Email Notifications

Audit History

Alerts of Exceptions out of Threshold Configurable Process based on Type of Project,

Change, Task, etc.

Status Reports

Create

Workplan

Approve

Publish andVersion

Workplans

WBS

Template

DeliverablesWork

EstimatesResources


8/63

Project Creation in HTML

Get Projects into Oracle Earlier Gain Insight Faster!

NEW World

Project Managers create projects themselves

PMs plan work, budget, resources

Standardize business processes with templates

Workflow enable project approval processResources

Time ScopePla

nPla

nExecute

Execute

ControlControl

Forms/Old World

Project Accounting/Finance has to create projects based on

requests from Project Managers email, paper form requests,

Excel spreadsheets, etc.


9/63

Project Creation in HTML

Allow Project Managers to Request & Plan Project


10/63

Work Breakdown Structure Maintenance

Financial Task Details in HTML


11/63

Workplan Tasks

Addl Task Details enabled with Project Management


12/63

Project Budgeting & ForecastingImprove Forecast Accuracy and Efficiency

Generate budgets based on resource plan, workplanschedule & commitments

Automatically create forecasts, pull in Actuals-To-Date

Compare variances to prior forecasts

Create ETC based on:- Earned value- Percent complete

- Future budget amounts

- Future resource schedule

- Open Commitments

-Open Change Orders

Adjust in summary or detail, Task or Resources

Edit in Excel

Create and compare what if scenarios

Route for Approval via WorkflowAdjust

via Excel

or Web

ActualCosts

InitialBudget

Resources

Changes

Workplan

Forecast

Forecast (EAC) = Actuals + Estimate to Complete (ETC)


13/63

Forecast Entry

Flexible Planning Levels & Entry Methods


14/63

Forecast Edit in Excel

Bi-Directional, for Easy Updates


15/63

Project Performance ReportingAccurately Assess Project Health and Drilldown to Root Causes

Define, view and investigate exceptions toperformance; drill down to details

Exceptions flagged based on Business-DefinedThresholds

Review project performance via multiple reports- By Tasks of WBS

- By Resource Hierarchy

- By Period and Trend, Graphs

- By Currency

- Earned Value

Rollup Program Information from Subprojects Schedule: Dates, Effort/Cost, Resources

Financials: Actual, Budget, Forecast, Billings &Collections

Project

Program

Project

TasksTasksTasksTasks

Resource Resource Resource ReportatAny

Level

Transactions


16/63

Performance Reporting

PSI Next Generation! Self-Service Project Mgr Access


17/63


By WBS, Drilldown to Expenditures & Commitments


18/63


Flexible Resource Breakdown Structure Hierarchies


19/63


Periodic Data


20/63

Invoice Review

Drilldown, Approve Invoices Online!


21/63

Project Portfolio AnalysisAlign Organizational Goals and Resources

Plan

Portfolio

Plan

Portfolio

ExecutePortfolio

MonitorPortfolio

Portfolio Management

Define Standard Objectives

Determine Project Costs

and Requirements

Score and Rank All Projects

Balance Portfolio

Approve & Launch Portfolio


22/63

R12 Goals

The Global Business Release

3

Think Globally to make the right decisions

I can make more informed decisions with a global view ofcustomer / supplier / partner / operations

Work Globally to be more competitiveMy business will be more competitive with better support

for work that crosses applications, divisions, and regions

Manage Globally to lower cost and increaseperformance

R12 makes it easier and less expensive for me toimplement, manage, and scale global applications


23/63

WORK GLOBALLY

To Be More Competitive

WORK GLOBALLY

To Be More Competitive

THINK GLOBALLY

To Make the Right Decisions

THINK GLOBALLY

To Make the Right Decisions

MANAGE GLOBALLY

To Lower Cost & IncreasePerformance

MANAGE GLOBALLY

To Lower Cost & IncreasePerformance

How Release 12 Projects ContributesThe Global Business Release

Subledger Accounting

Multi-Org Access Control

(MOAC)

Standardized Data Model

for MRCProgram Management

Portfolio Management XML Publisher

Fusion MiddlewarePerformance Management

Supplier Cost

Management

Subcontractor Payment

Management Uptake

Revenue in a Foreign

Currency

Oracle Projects Specific

BPEL


24/63

Release 12 Financial Initiatives(Projects Uptake)

Subledger Accounting Uptake

Multi-Org Access Control (MOAC)

Legal Entity / Ledger Architecture

Standard Data Model for Multiple Reporting Currencies

MRC Migration

Budget Controls and Public Sector Accounting Funds

Management

TCA Uptake

eTax Uptake


25/63

Release 12 Projects Initiatives

Supplier Cost Management

Improved Project Costing with Cash Basis Accounting

Removal of Supplier Cost Adjustment Restrictions

Mass Adjust Concurrent Processing

Aids for Oracle Payables and Project Costing Reconciliation

Flexible Derivation of Expenditure Item Date

Subcontractor Payment Management Uptake

Revenue in a Foreign Currency


26/63

Release 12 Financial Initiatives





MRC Migration


Management

TCA Uptake

eTax Uptake


27/63

What is Subledger Accounting?

SLA is an intermediate step between subledger products andthe Oracle General Ledger

Journal entries are created in Subledger Accounting and

then transferred to Oracle General Ledger

Each subledger transaction that requires accounting isrepresented by a complete and balanced subledger journal

entry stored in a common data model



28/63

Release 11i

Accounting model and

transaction model are tightlyintegrated

Release 12.0

Accounting model is separated

from the transaction model

Subledger

Products

Projects

Payables

Receivables

General

Ledger

Subledger

Products

Projects

Payables

Receivables

Subledger

Accounting

AR Rules &

journal entries

PA Rules &journal entries

AP Rules &

journal entries

General

Ledger

Subledger Accounting Upgrade / Setup


29/63

Infrastructure to centralize accounting setup

Subledger Accounting is the engine used to store the rulesfor accounting transactions from various applications across

the Oracle E-Business Suite

Infrastructure to standardize accounting policies

Business users can extend predefined accounting rules orcreate their own rules allowing organizations to reactimmediately to change.

Extensible list of sources to derive accounts Projects will be seeding over 300 sources to help customers

derive accounts and account descriptions



30/63


Upgrade process seeds SLA with rules to

automatically accept the accounts that Projects

sends (derived from AutoAccounting)

Existing Customers:

If the accounting provided in Release 11iis satisfactory, then

it is recommended that customers leave their

AutoAccounting and SLA setups untouched.

May utilize SLA setups if AutoAccounting did not fully meet

their needs.


31/63


32/63

Release 11i Release 12

Generate Revenue for a Single/ Range ofProjects

Review Revenue

Release Revenue

Interface Revenue to GL

Journal Import (Oracle GL)

Journal Import (Oracle GL)

Create Accounting

Generate Revenue Accounting Events

Generate Revenue for a Single/ Range ofProjects

Review Revenue

Release Revenue


Flow Comparison for Revenue


33/63






MRC Migration


Management

TCA Uptake

eTax Uptake


34/63

Multi-Org Access Control

Data Entry - Enter data for multiple operating units

from a single responsibility

Inquiry and Adjustments - Inquire and adjust data

from multiple operating units from a singleresponsibility

Processing and Reporting - Run concurrent programs

and reports for multiple operating units from a singleresponsibility


35/63






MRC Migration


Management

TCA Uptake

eTax Uptake


36/63

Legal Entity Uptake

Provides a clear and consistent legal entity model.

Strengthen the role of Legal Entity in Oracle

Applications Separate Legal Structure and Operations Structure

Projects Uptake -

Legal entity context derived fromoperating unit no change from 11i


37/63






MRC Migration


Management

TCA Uptake

eTax Uptake


38/63

Multiple Reporting Currency Migration

Oracle Projects has eliminated

Set of Books Currency Selection during the Inquiry

MRC Columns in folders

Switching currency for the Project Functional Amount Concurrent Programs for interfacing the MRC amounts to the Reporting Set

of Books/Ledger

You can view the Multiple Reporting Currency (MRC) amounts in

Projects by choosing the Alternate Ledger Currency from View

Accounting

Release 12 onwards, MRC amounts for new transactions in Projects

will be displayed from Sub-Ledger Accounting Module

Consistent approach in Alternate Ledger Currency amount calculation

MRC calculation centrally managed

Key Benefits


39/63






MRC Migration


Management

TCA Uptake

eTax Uptake


40/63

Budgetary Control API (commonly known as GL FundsCheck API) is enhanced to provide better integrationwith other sub-ledger applications :

Projects Impact: Uptake SLA for Encumbrance Accounting

Uptake new budgetary control API

Streamlined funds check data flow to minimize dependencies

Funds Management Uptake


41/63






MRC Migration


Management

TCA Uptake

eTax Uptake


42/63

TCA a.k.a Oracle Trading Community Architectureis a model that includes:

A global registry of organizations, people, addresses, andthe relationships among them

Public APIs for custom development

Support for Integration with 3rd party content providers

Projects Impact: Migrate forRA_Views to HZ_Tables

TCA Uptake


43/63






MRC Migration


Management

TCA Uptake

eTax Uptake

T U k


44/63

eTax a.k.a E-Business Tax is a tax engine includes: Central Repository which contains rules & definitions required to

calculate tax

Record Repository which is the actual transaction tax data required for

auditing and reporting purposes Services such as tax content, tax determination & tax administration

Projects Impact:

Setup via eTax (at the project, expenditure type, & event level) Customer Invoicing

Pass eTax tax code to AR on invoices/credit memos so that eTaxcan generate the appropriate tax lines.

InterCompany Invoicing Tax line generation through eTax supported on Intercompany

Invoicing.

Integration with Payables and Receivables

eTax Uptake


45/63

E-Business Tax Integration


46/63






Aids for Oracle Payables and Project Costing Reconciliation Flexible Derivation of Expenditure Item Date

Subcontractor Payment Management Uptake Revenue in a Foreign Currency

S li C t M t


47/63


Since its inception, Oracle Payables modeled invoices withheaders and distributions. Disadvantages Line item info on the physical document is not available in the

system. Calculation of item charges is cumbersome because the item itself is

split across multiple distributions.

Approval and payment processing requires accounting and taxcreation.

In Release 12, Payables is introducing a new entity calledInvoice Lines. Advantages Line item info can be captured and accurately reflected in the

system. Transaction processing is separate from accounting (SLA) and tax

(eTax) processing.

Variances will now be separate lines and distributions.

O l P bl I i Li E tit


48/63

Oracle Payables Invoice Lines Entity

InvoiceSupplier: Advanced NetworksInvoice Num: 11111Date: 13-JUN-2001

Line # Item Qty Unit Price1 Computer 1 $10002 Printer 1 $5003 Tax (10%) $150_______________________________Total $1650

Allocate

Yes

No

Invoice

Headers

Invoice Lines

Invoice

Distributions

O l P bl I i W kb h


49/63

Oracle Payables Invoice Workbench



50/63


Projects Uptake Improved Project Costing with Cash Basis

Accounting

Removal of Supplier Cost Adjustment Restrictions Supplier Cost Adjustment Accounting Performed by

Oracle Projects

New Mass Adjust Concurrent Process New Aids for Reconciling Supplier Cost with Other

Products

Removal of Pre-approved Batch Entryfor Expense Report Entry in Projects

New Supplier Cost Audit Report


51/63

New Supplier Cost Audit Report

Expenditure Inquiry Find Window


52/63

Expenditure Inquiry Find Window

Expenditure Inquiry


53/63

Expenditure Inquiry

New columns available:

Document Type PO Number

Doc Distribution Type PO Line Number

Invoice Number PO Distribution NumberInvoice Line Number PO Price Type

Payment Number PO Receipt Number

Invoice Distribution Line Number

Invoice Workbench


54/63

Invoice Workbench


55/63






Aids for Oracle Payables and Project Costing Reconciliation Flexible Derivation of Expenditure Date from Purchasing



Subcontractor Payment Management


56/63


An integrated solution for services procurement used to

model complex work contracts where advanced payment

terms need to be considered during execution

Commodities / Industries of Interest

Professional Services

Engineering and Construction Aerospace and Defense

Public Sector

Subcontractor Payment Mgmt


57/63

y gBusiness Flow

Apply Retainage

Release Retainage

Pay Advances

Liquidate Advances

Author Contract

Invoice

Request to

Subcontract

Work

Source

Supplier

Supplier Reports Progress

Certify Progress/ Stage of

Completion

Submit SOVAward Contract



58/63

Commitment Reporting

- Financing pay items, Retainage not shown as

commitments

- Unmatched prepayments are displayed as

commitments

Budgetary controls Retainage distributionsare not funds checked against the project

budget.

Projects Impact


59/63






Aids for Oracle Payables and Project Costing Reconciliation Flexible Derivation of Expenditure Date from Purchasing





60/63

Support Revenue Revaluation in GL

Calculate revenue including unbilledreceivables and unearned revenue inrevenue transaction currency

Interface project revenue to SubledgerAccounting for posting to General Ledgerin project functional currency andinrevenue transaction currency

e e ue a o e g Cu e cy

Revenue in Foreign Currency


61/63

Setup Project Billing Currency

Option to Select

Revenue Transaction

Currency

Enable Multi

Currency BillingBox Checked

Invoice by Bill

Transaction Currency

Box Unchecked

Revenue in Foreign Currency


62/63

Event Currency =

Invoice Transaction

Currency = 150,000 CADin this example

Revenue Event Creation

For More Information


63/63

Metalink Information:http://metalink.oracle.com/

Oracle Product Documentation:http://www.oracle.com/technology/documentation/applications.html

All Projects Books republished!

Oracle Projects Fundamentals (B25617-02)Oracle Projects Implementation Guide (B25623-02)

Oracle Project Costing User Guide (B25618-02)

Oracle Project Billing User Guide (B25619-02)

Oracle Project Resource Management User Guide (B25620-02)Oracle Project Management User Guide (B25621-02)

Oracle Project Portfolio Analysis User Guide (B25622-02)

Oracle Project Contracts Implementation Guide (B25715-01)

Oracle Project Contracts User's Guide (B25716-01)

Oracle Projects APIs, Client Extensions, and Open Interfaces Reference(B25624-02)

Projects Collateral & Whitepapers:

http://www.oracle.com/applications/projects/intro.html