Approvals Management Engine (AME) Integration with Advanced Global Intercompany Systems

An Oracle White Paper Nov 2011

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EXECUTIVE OVERVIEW .......................................................................................................... 3 INTRODUCTION ....................................................................................................................... 3 SCOPE ...................................................................................................................................... 3 Static Method: ............................................................................................................................ 4 Step 1: Define Employee Hierarchy Setups ............................................................................ 5 Step 2: Define Action Types for FUN Recipient Intercompany Transaction ............................ 5 Step 3: Define Rules for FUN Recipient Intercompany Transaction ........................................ 7 Step 4: Define Attributes for FUN Recipient Intercompany Transaction .................................. 8 Step 5: Define Conditions for FUN Recipient Intercompany Transaction ...............................12 Step 6: Define Approver Groups for FUN Recipient Intercompany Transaction .....................12 Step 7: Transaction Process..................................................................................................12 Dynamic Method: ......................................................................................................................16 Step 1: Define employee hierarchy setups ............................................................................17 Step 2: Define Action Types for FUN Recipient Intercompany Transaction ...........................18 Step 3: Define Rules for FUN Recipient Intercompany Transaction .......................................19 Step 4: Define Attributes for FUN Recipient Intercompany Transaction .................................20 Step 5: Define Conditions for FUN Recipient Intercompany Transaction ...............................22 Step 6: Define Approver Groups for FUN Recipient Intercompany Transaction .....................22 Step 7: Transaction Process..................................................................................................22

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EXECUTIVE OVERVIEW
The purpose of this document is to familiarize the users of Oracle Advanced Global Intercompany Systems (R12) with the Approvals Management (Hierarchical Approval) feature. This document provides details on the Usage and Setup of Approvals Management (Hierarchical Approval) for Intercompany Transaction Approval.

INTRODUCTION
In release 12, Intercompany Transactions can be processed using Advanced Global Intercompany System (AGIS). Advanced Global Intercompany System (AGIS) enables integration with Approval Management to send Hierarchical Approval Notifications for intercompany transactions. If Approval Management is not used, then system will send single Approval Notification based on Security setups in Advanced Global Intercompany. Using Approvals Management, system can send multiple Approval Notifications for approvals based on Approvals Management Supervisor Hierarchy. Note: - This functionality was introduced through the Patch 6995183

SCOPE
The scope of this Document is to understand the Integration of Approval Management with Advanced Global Intercompany System. The document provides details on the usage and setup of AME for intercompany transaction approvals. Please refer to Oracle Advanced Global Intercompany System User's Guide and Oracle Approvals Management Implementation Guide for more information. While defining AME there are various options available for setting the approvals. However in this whitepaper, we would be discussing the steps to define AME based on the Supervisor Level approvals using the following usage attribute types: 1. Static Attribute Method 2. Dynamic Attribute Method

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Static Method:
Processing Advanced Global Intercompany Recipient Transaction with Supervisor Hierarchical Approval Notifications Static Method: A static use specifies a fixed value for the attribute, for all items and transactions. It is a common practice to give static use to most or all of the mandatory attributes. A static use requires less runtime overhead than a dynamic use. Also, static use expresses uniform business policies for all transactions in a given transaction type. Static Method involves the following steps 1: Define Employee Hierarchy Setups (Mandatory) 2: Define Action Types for FUN Recipient Intercompany Transaction (Mandatory) 3: Define Rules for FUN Recipient Intercompany Transaction (Mandatory) 4: Define Attributes for FUN Recipient Intercompany Transaction (Mandatory) 5: Define Conditions for FUN Recipient Intercompany Transaction (Optional) 6: Define Approver Groups for FUN Recipient Intercompany Transaction (Optional) 7: Transaction process Note: - Steps 5 and 6 are optional and hence not covered in this session. For more details please refer Approval Management Engine (AME) Implementation guide

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Step 1: Define Employee Hierarchy Setups

Navigation: HRMS Responsibility ->People ->Enter and Maintain

1. Define Supervisor Employee (SIVA) 2. Define Subordinate Employee (SAMEER) Employee: -SAMEER (Employee id 31418) Supervisor -> SIVA (Employee id 31638)

Step 2: Define Action Types for FUN Recipient Intercompany Transaction

Note: Add Approval Management Business Analyst Responsibility to the user Navigation: Approval Management Business Analyst Responsibility -> Business Analyst Dashboard

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Business Analyst Dashboard ->Select FUN Recipient Intercompany Transaction Setup button

Setup->Action Types->Select Use Existing Action Type

From the Existing Action Type ->Select Supervisory Level

Choose Apply button.

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Step 3: Define Rules for FUN Recipient Intercompany Transaction

Navigation: Approval Management Business Analyst -> Business Analyst Dashboard ->Rules

Choose Add Action and then select Action type as Supervisor level and select correct levels of hierarchy. As per the setup shown in this white paper if Require approvals up to the first two superiors is selected then, first SAMMER will approve the AGIS transaction, after that notification will go to supervisor SIVA. Once supervisor approves AGIS Batch then AGIS Batch status will change to Approved.

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Step 4: Define Attributes for FUN Recipient Intercompany Transaction

While defining AME with Static Method following two attributes are mandatory 1. SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID 2. TOP_SUPERVISOR_PERSON_ID Navigation: Approval Management Business Analyst ->Business Analyst Dashboard->Setup>Attributes

Here select the options as follows: Attribute Category Item Class Data Type Name : All : All : All : SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID Select GO Button and then Choose Update button for the attribute SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID Page 8

Here pass the following information Description Data Type : Enter required description : Number

Approver Type : HR People Value Set Usage Type Value : Blank : Select Static from drop down list : Subordinate employee id

Here user needs to give starting point as Subordinate employee id. Based on the subordinate employee id AGIS will get the Supervisor employee hierarchy setup details. In this case, SAMEER is the subordinate for supervisor SIVA. Hence we gave employee id of SAMEER which is 31418.

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2. TOP_SUPERVISOR_PERSON_ID Navigation: Approval Management Business Analyst ->Business Analyst Dashboard->Setup>Attributes

Here select the options as follows Attribute Category Item Class Data Type Name : All : All : All : TOP_SUPERVISOR_PERSON_ID Choose GO Button and then Select Update button for the attribute TOP_SUPERVISOR_PERSON_ID

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Here pass the following information Description Data Type : Enter required description : Number

Approver Type : HR People Value Set Usage Type Value : Blank : Select Static from drop down list : Supervisor employee id And choose apply button. Here user needs to give ending point as Supervisor employee id to close the approval notifications. For SAMEER, SIVA is the supervisor hence we gave Supervisor employee id that is 31638.

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Step 5: Define Conditions for FUN Recipient Intercompany Transaction

This Setup is not mandatory and hence not covered in this white paper. For more details please refer Approval Management Engine (AME) Implementation guide.

Step 6: Define Approver Groups for FUN Recipient Intercompany Transaction

This Setup is not mandatory and hence not covered in this white paper. For more details please refer Approval Management Engine (AME) Implementation guide.

Step 7: Transaction Process

Navigation: Intercompany Super user Responsibility->Transactions->Inbound: Query the batch number 70

Initiator Organization Recipient Organization

: SOracle Hyderabad : SOracle Bangalore

SOracle Bangalore AGIS Organization access given to SAMEER .Once SAMEER approves recipient notification then final approval notification will goes to SIVA (Supervisor). In the above example batch number 70 was received by SOracle Bangalore for approval

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Navigation: Intercompany Super user Responsibility->Transactions->Inbound

Transaction: 70 Approved by SAMEER and forwarded to subsequent approvals. When the transaction submitted for further approval, you can see the following message in the inbound page Your approval action for transaction 70 and recipient SOracle Bangalore has been
recorded. The transaction may be forwarded for subsequent approvals.

As transaction is forwarded for further approval, the transaction status remains as Received.

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Log in into applications as Supervisor User: SIVA

Navigation: General Ledger Super Responsibility->Others-> Notifications -> Open Notifications >Select Go

Here Supervisor SIVA received notification for final approval from Subordinate SAMEER

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General Ledger Super ->Others-> Notifications -> Open Notifications ->Select Update

Supervisor (SIVA) can now select the Approve button and complete the approval process.
Navigation: Intercompany Super user->Transaction->Inbound ->Query the Batch number 70

Here Transaction status changed as Approved because batch approved by the final approver that is SIVA (Supervisor).

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Dynamic Method:
Processing Advanced Global Intercompany Recipient Transaction with supervisor Hierarchical approval notifications with Dynamic Method: A dynamic use specifies an SQL query that AME executes at run time .This query fetches the attribute's value for each item in the attribute's item class, for a given transaction. The execution of dynamic attribute use constitutes the majority of AME's run time overhead. Therefore, optimizing your dynamic use can have a big impact on AME's performance. Ensure you optimize these queries thoroughly, especially if the Transaction type that owns them processes a high volume of transactions. Multiple users would be having the same initiator and recipient organization access. System picks the approval hierarchy on the basis of the employee id of the user who would be creating the transaction. SOracle Hyderabad (Initiator) and SOracle Bangalore (Recipient) organization access was given to INIT_USER, INIT_MGR, REPT_USER and REPT_MGR For INIT_USER, Supervisor is INIT_MGR For REPT_USER, Supervisor is REPT_MGR

If AGIS Transaction is created by INIT_USER then approval goes to INIT_MGR. Similarly if AGIS Transaction is created by REPT_USER then approval goes to REPT_MGR. Dynamic Method involves the following steps: 1: Define employee hierarchy setups (Mandatory) 2: Define Action Types for FUN Recipient Intercompany Transaction (Mandatory) 3: Define Rules for FUN Recipient Intercompany Transaction (Mandatory) 4: Define Attributes for FUN Recipient Intercompany Transaction (Mandatory) 5: Define Conditions for FUN Recipient Intercompany Transaction (Optional) 6: Define Approver Groups for FUN Recipient Intercompany Transaction (Optional) 7: Transaction process

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Step 1: Define employee hierarchy setups

Navigation: HRMS Responsibility ->People ->Enter and Maintain

1. Define Supervisor Employee (REPT MGR) 2. Define Subordinate Employee (REPT User)

Supervisor: REPT MGR (Employee id 31742) Employee: REPT User (Employee id 31741)

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Step 2: Define Action Types for FUN Recipient Intercompany Transaction

Note: Add Approval Management Business Analyst responsibility to your user Navigation: Approval Management Business Analyst -> Business Analyst Dashboard

Business Analyst Dashboard ->Select FUN Recipient Intercompany Transaction Setup button

Setup->Action Types->Select Use Existing Action Type

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Select Supervisory Level Action Type and choose Apply button.

Step 3: Define Rules for FUN Recipient Intercompany Transaction

Approval Management Business Analyst -> Business Analyst Dashboard ->Rules

Select Add Action and choose Action type as Supervisory level and select correct levels of hierarchy. REPT User is the subordinate and REPT MGR is the Supervisor as per the Hierarchy. If Require an approval up to the first two levels is selected then first REPT User will approve the AGIS transaction, after that notification will go to supervisor REPT MGR. Once supervisor REPT MGR approves AGIS Batch then AGIS Batch status will change to Approved. Page 19

Step 4: Define Attributes for FUN Recipient Intercompany Transaction

While defining AME with Dynamic method following attribute is mandatory 1. SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID Approval Management Business Analyst ->Business Analyst Dashboard->Setup->Attributes

Here select the options as follows Attribute Category Item Class Data Type Name : All : All : All : SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID Select Go and then choose Update button for the attribute SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERSON_ID

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Here enter the following information Description Data Type Approver Type Value Set Usage Type Value : Enter required description : Number : HR People : Blank : Select Dynamic from drop down list : select employee_id from fnd_user where user_id = (select last_updated_by from fun_trx_headers where trx_id = :transactionId)

Select Apply button.

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Step 5: Define Conditions for FUN Recipient Intercompany Transaction

This Setup is not mandatory and hence not covered in this white paper. For more details please refer Approval Management Engine (AME) Implementation guide.

Step 6: Define Approver Groups for FUN Recipient Intercompany Transaction

This Setup is not mandatory and hence not covered in this white paper. For more details please refer Approval Management Engine (AME) Implementation guide.

Step 7: Transaction Process

Navigation: Intercompany Super user Responsibility->Transactions->Inbound. Query batch number 88. Batch 88 is created by the user REPT_USER.

Initiator Organization Recipient Organization

: SOracle Hyderabad : SOracle Bangalore

SOracle Bangalore organization access was given to REPT_USER. Once REPT_USER approves recipient notification then final approval notification will goes to REPT_USER (Supervisor). This approval path is based on the hierarchy of REPT_USER. In the above example batch number 88 was received by SOracle Bangalore for approval.

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Select Update Transaction for Batch Number 88

Select Approve button.

Transaction: 88 Approved by REPT_USER and forwarded to subsequent approvals. When the transaction submitted for further approval, you can see the following message in the Inbound Page
Your approval action for transaction 88 and recipient SOracle Bangalore has been recorded. The transaction may be forwarded for subsequent approvals.

As transaction is forwarded for further approval the transaction status remains as Received

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Login into application with Supervisor login REPT_MGR

General Ledger Super Responsibility->Others-> Notifications -> Open Notifications Open the Notification form

Here Supervisor REPT_MGR, received final approval notification from Subordinate that is
REPT_USER

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General Ledger Super ->Others-> Notifications -> Open Notifications ->Select Update-> Choose Approve

Supervisor (REPT_MGR) can now select the Approve button and complete the approval process
Navigation: Intercompany Super user->Transaction->Inbound->Query Batch number 88

Here Transaction status changed as Approved as batch approved by the final approver, SIVA (Supervisor).

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White Paper Title: Approvals Management Engine (AME) Integration with Advanced Global Intercompany Systems [NOV] 2011 Author: Sivaranganath Chittapragada, ISC Contributing Authors: Oracle Corporation World Headquarters 500 Oracle Parkway Redwood Shores, CA 94065 U.S.A. Worldwide Inquiries: Phone: +1.650.506.7000 Fax: +1.650.506.7200 www.oracle.com Oracle is a registered trademark of Oracle Corporation. Various product and service names referenced herein may be trademarks of Oracle Corporation. All other product and service names mentioned may be trademarks of their respective owners. Copyright 2001 Oracle Corporation All rights reserved.

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