Oracle Order Management Interview Questions What is a Standard Item?

A standard item is a finished good that is not an assembled or configured item, a service or a component. What happens when you enter an Order? After you enter an order, the items on the order are validated in Oracle Inventory; a price is calculated for the items using the pricing engine; the availability of the items are checked and may be reserved; the items are then pick released and shipped to the customer. Explain about Processing Constraints Processing Constraints are a security framework where you can define rules in Oracle Order Management that validate back-end operations such as Create, Update, Delete and Cancel. Examples: You cannot change the Order Type in the order header once the order is Booked. You cannot delete the line in an order once the Order Status is Closed (if the order is ship confirmed or invoice interfaced). What are Defaulting Rules? Defaulting Rules enable you to speed up data entry by passing values in the window based on some key values you have entered. Examples: In the order header, Ship-To Address and Bill-To Address values default in the window once you enter the customer name or number. If you enter an item number, the Unit of Measure and Item Description automatically default on the order line. How Drop Ship Order is created? Drop shipments are created as sales orders in Order Management, indicated as drop shipments when their Source Type is entered as External. When will you create a Drop Ship Order? Drop shipments are used due to the following reasons: Customer requires an item that is not normally stocked Customer requires a large quantity of the item which is not available with you It is more economical when the supplier ships directly to the customer. What are the types of Drop Ship Order? There are three types of drop shipments: Full Drop Shipment: The seller sends the purchase order to the supplier for the full quantity that the customer had ordered Normal Shipments and Full Drop Shipment: The seller ships some goods from inventory to the customer, and the other goods are always shipped from an external source (supplier) Normal Shipments and Partial Drop Shipment: If the seller has only part of the quantity available for shipping to the customer, then that quantity is shipped. The user looks at the availability for the order qty by using the ATP check and if the whole qty is not available the balance qty is fulfilled using the drop ship process. A purchase order is created for the remaining quantity which the seller was not able to fulfill. What is a Sales Agreement? A Sales Agreement is a suppliers representation of an agreement with a customer for the supplier to sell and the customer to buy goods or services. What is ASN? ASN stands for Advanced Shipment Notice. ASN is transmitted via Electronic Data Interchange (EDI) from a supplier to let the receiving organization know that a shipment is coming. The ASN contains

details including shipment date, time, and identification number, packing slip data, freight information, and item detail including cumulative received quantities, purchase order number, and returnable container information. What are Modifiers and Qualifiers? Modifiers are discount, surcharge or special charge that may be applied to the base price and may alter the value of the item. It can be applied either at order level or at the line level. A qualifier helps you define who is eligible for a price list or modifier. A qualifier can be a customer name, a customer class, an order type, or an order amount that can span orders. Explain One Step Pick Release Process The one-step process consists of selecting the Auto Allocate box on the Inventory tab and the Auto Pick Confirm box on the Inventory tab when you run Pick Release, which means that the Pick Recommendation is automatically created and Pick Confirmed without any manual intervention. Explain Two Step Pick Release Process The two-step process consists of selecting Auto Allocate (not Auto Pick Confirm), which creates a move order that is automatically detailed. It enables you to view the Pick Recommendation and provides the opportunity to change quantity, location, and subinventory. You can report a missing quantity at the Pick Confirmation step in the Transact Move Orders window. Once you have made your changes, you can transact the move order to Pick Confirm the inventory. Explain Three Step Pick Release Process The three-step process consists of selecting neither the Auto Allocate or Auto Pick Confirm check boxes. This creates a move order whose details you can enter manually or automatically in the Transact Move Orders window. After the details are entered, you can transact the move order to pick confirm the transaction. What are various ways you can run Pick Release? Release Sales Orders Window Using a Concurrent Program SRS Pick Selection List Generation SRS. Release Rule Name need to be specified to proceed with the pick release when using the concurrent program or SRS. At which stage the item is moved from ware house to staging inventory? During Pick Confirm What happens during Ship Confirm? Ship Confirm indicate that the items are loaded onto the carrier from staging location. At which stage the Oracle Inventory is decremented and Sales Order Line status is updated? During Ship Confirm What is Autoinvoice? AutoInvoice is a concurrent program in Oracle Receivables that performs invoice processing at both the order and line levels. Once an order or line or set of lines is eligible for invoicing, the Invoice Interface workflow activity interfaces the data to Receivables. Oracle Order Management inserts records into the following interface tables: RA_INTERFACE_LINES and RA_INTERFACE_SALES_CREDITS. If the order or lines are On Hold, what happens during Invoice Interface? The Invoice Interface workflow activity will complete with a status of On Hold and the order details will not be interfaced to Receivables. What is Credit Check? Credit Checking feature is the process by which orders are validated and released against your credit checking business rules. What are the two Invoicing Rules?

Advance Invoice and Arrears Invoice Oracle 11i Order Management Interview Questions - Part I What are the steps involved in implementing Order Transaction Types in Order Management? Create a Line Transaction Types for Order Lines Create Order Transaction Types Assign Line Flows to Order Transaction Types Create document sequence for Orders Assign Order transaction types to the document sequence When a line is at fulfilled step and the workflow is at applying Pre-Payment, how can we progress the line to close? Go to the order lines showing Fulfilled right click Select Progress Order. This will interface the order to Accounts Receivable for Invoice Interface. What are the steps to define an order type and what are the mandatory requirements? In the Order Management Mandatory requirements: 1. Operating Unit / Organization must already been defined. 2. Defaulting Rules 3. Price Rules 4. Freight Carriers 5. Most important is already we must have defined OM Line Transaction Type so that we can assign this Line Transaction Type to OM Order Transaction Type. 6. Credit Check Rules. 7. Invoicing Rules & Accounting Rules. 8. Currency When scheduling, the line got error "ATP Error Scheduling failed". How will you resolve? This error may be due to Item setup in Inventory & Order Transaction Type Setup Order management. Ensure the Below Setups 1) Inventory Items Organization Items Setup Order Management Check ATP should be none. 2) Order Management Schedule' check box. 3) Profile Option 'OM: Auto Schedule' should be 'No'. What are the possible reasons for Interface trip stop to complete with Error? Few reasons may be 1) Order is on Hold 2) Tax is not applied properly 3) On-Hand qty is not available in the Inventory Transaction Types Define. In 'Shipping' sub-tab uncheck 'Auto Setup Transaction Types Transaction type Window Opens.

4) Inventory Period is not open 5) Make sure Schedule Ship Date or Requested Date is within the range of order Date Explain the setup involved in Drop Shipment Process? Drop Shipment is a process where the customer places a purchase order on a company and the company instructs its supplier to directly ship the items to the customer. Drop Shipment Process Steps Create a Sales Order with line where the line source is External Book and Schedule the Sales Order Run workflow background Process Now the line status will be in Awaiting Receipt Login to the Receiving Organization (Purchasing) who has been setup as an Approver Run Requisition Import Process Auto create to Create Purchase Order Approve the PO Receive against the purchase Order Run Auto Invoice Verify Invoice in Sales Order Oracle Order Management uses purchase orders to outside suppliers that are automatically generated from sales orders for goods supplied directly from the supplier. The external supplier ships the goods directly to the 3rd Party customer and confirms the shipment through the use of an Advanced Shipment Notice (ASN). What are the different statuses for a drop ship order? Entered Booked Awaiting Receipt Closed

Explain Internal Sales Order Internal Sales Orders are used to transfer material from one inventory organization to other inventory or warehouse organization with the same company. Flow of Internal Sales Order Internal requisition in PO/INV Program Confirm Requisition Approval Run Create Internal Sales Order Concurrent Pick Item in INV thru OM Ship Run Order Import Concurrent Program in OM Receive Internal Order in INV / PO

Select Order Source as Internal while importing Orders. Shipping Network (Intransit or Direct) to be defined between two organizations (Source and Destination) Destination (requesting) Organization should be defined as Internal Customer with a Ship to address in Order Management. An Internal Sales Order does not generate Accounts Receivable Invoice Explain Back to Back Order or Procure to Order Processing

Customer order products from you company, you place the order with third party supplier. The supplier ships the product to you and you ship the product to Customer. What are the Inventory Set ups required for Back to Back Order Processing? Order Management Tab: Customer Orderable, Assemble to Order (ATO) Purchasing Tab: Purchasable WIP Tab: Build in WIP General Planning Tab: Buy What is the difference between a credit memo and an invoice? Credit Memo A document that partially or fully reverses an original invoice amount. Invoice A document you create in Oracle Receivables that lists amounts owed for the purchases of goods or services. This document may list any tax and freight charges. A summarized list of charges including payment terms, invoice item information, and other information that is sent to a customer -Oracle Pricing & Advanced Pricing are two different things. Pricing covers the basic features and come bundled with Order Management, however Advanced pricing is a separate module that has advanced pricing features. Overall pricing module lets you define pricelists, discounts, surcharges, promotions etc. Price Lists: Price lists allows you to define prices for the goods/services sold. You can define Item, Unit of measure, unit price, currency and effective dates. Qualifiers: Qualifiers controls who qualifies for what, you can define a qualifier based on customer groups, order types, order amounts etc and attach this to price lists. When sales order is entered it verifies that qualifier is applicable for this price list. Pricing attributes: This gives you added functionality of defining price based on some attributes. Modifiers: Price list defines the base price, Modifier controls the positive or negative discounts to the list price. Modifier types can be Deal, discount list, Freight, promotion, surcharge. Qualifiers can be attached to modifiers. Eg. if Customer is A2Z corporation you can give 40% discount, then 40% discount on list is price is applied if customer on sales order is A2Z. Pricing formulas: Pricing formulas allows dynamic pricing (instead of static list price) based on pricing attributes. Interview Questions Bill Of Meterial 1. A list of component items associated with a parent item and information about how each item related to the parent item is called as Ans: Bill of Material 2. An alternate list of component items you can use to produce an assembly is called as Ans: Alternate Bill of Material 3. An alternate manufacturing process you can use to produce an assembly. Ans: Alternate Routing 4. The number of units of a resource available in a department is called as Ans: Capacity Units 5. How many Types of BOM item types are there? Ans: 4

6. Select the correct BOM item type among the following? Ans: a. standard Bill b. model Bill, c. option class d. planning items 7. An assembly that uses the bill of material of another assembly as its bill is called as Ans: Common Bill of Material 8. A routing that uses the routing of another assembly as its routing is called as Ans: Common Routing 9. A set of items, bills, and routings can be deleted using ? Ans: Delete group 10. A business rule that restricts the entities to delete is called as Ans: Deletion Constraint 11. An area within your organization that consists of one or more people, machines, or Suppliers is called as Ans: Department 12. A group of departments is called as Ans: Department Class 13. A prototype part, material, subassembly, assembly, or product you have not yet released to production. Ans: Engineering item 14. A resource whose capacity can be shared with other departments is called as Ans: Multi Department Resource 15. The time required to receive a purchased item into inventory from the initial supplier receipt, such as the time required to deliver an order from the receiving dock to its final destination is called as Ans: postprocessing lead time 16. The time required to place a purchase order or create a discrete job or repetitive schedule is called as Ans: preprocessing lead time 17. The time required to procure or manufacture an item is called as Ans: processing lead time 18. An optional identifier you can assign to a component on a bill is called as Ans: Reference Designator 19. Anything of value, except material and cash, required to manufacture, cost, and schedule products is called as Ans: Resource

20. A scheduled period of work for a department within an organization is called as Ans: Shift 21. A group of capacity modifications for resource shifts to simulate, plan, or schedule Capacity is called as Ans: Simulation Set 22. A calendar that identifies available workdays for one or more organizations is called as Ans: Workday Calendar 23. Dates that define plant or shift workday variations, including holidays, scheduled maintenance, or extended downtime is called as Ans: Workday Exceptions 24. The amount of a resource consumed at an operation is called as Ans: Usage Rate 25. The frozen standard unit cost for a resource is called as Ans: Standard Rate 26. Subdivision of an organization, representing either a physical area or a logical Grouping of items, such as a storeroom or receiving dock is called as Ans: Sub inventory Oracle Manufacturing Interview questions

Q1. HOW CAN We define bY Product in Discrete mfg Answer 1. By Product can be defined as item in the item master and the same is assiged to the respective BOM with negative quantity. and we do negative component issue of that material from WIP Q2. what are reference designators and how they are used practically .Please site few examples. 1. Refernc designators are attached to BOM components when more than one peice of same components is used. This can be used for referncing the multiple use of that component in the BOM 2. Reference designators are sequenced comments and instructions that pertain to a component. Example : We can have eng drawings that clarify the assembly process for certain components or further instructions for the use of a large quantity of the same component. You can also specify whether to assign one reference designator for every usage of the component or assign any number of the reference designator to the componentts. Q3. If i want to map a organization structure, where i hv 1 operating unit that is looking after only purchasing and payables activities, whereas another operating unit is looking after OM as well as receivables. I hv one more warehouse or say plant, where i am manufacturing & despatching the goods. Wiil it be solved by setting up purchasing at one OU and OM at another OU. Do I need to perform any additional setups? Please Suggest. Ans: I could not get the reason for having diff OU for Purchasing and OM seperately. Anyway if this what is required, then this can be created as seperate OUs e.g A for PO,AP and B for OM,AR respectively. Also MFG & dispatching warehouse can be setup as inventory

organization in B OU (OM,AR) and internal sales order setup has to be done between OU A and OU B to transfer the raw material required for manufacturing . Then dispatchign can be done from B OU (mfg warehouse) Q4. What you about Mutually Exclusive in BOM? Ans: Mutually Exclusive is applied to the Option Class. This means that only one option under the option class can be selected. Cumulative Manufacturing Lead Time: The total time required to make an item if you had all raw materials in stock but had to make all subassemblies level by level. Cumulative Total Lead Time The total time required to make an item if no inventory existed and you had to order all the raw materials and make all subassemblies level by level. Q5. What is difference between Sub inventory Transfer and Move order Transfer? Move order Transfer : In thier you need to Approve. & also you will get move order no, from there you can query whenever you want. From that you can also move material based on that move order no.You can trace material transfered based on move order no. Sub-inventory Transfer : Simply a transfer from one location to another. No records is generated during transfer. You can't trace material transfered sub inventory transfer: ->we can transfer material between sub inventories ->we can't cancell the SI transfer ->we can't track the transaction move order transfer: ->we can cancel move order ->we can track the M O ->we can set approval process Q6. Types of Calendar? where we are define it? Ans: Prorate calendar in FA Accounting cal in GL Transaction cal in GL Workday cal in INV Q7. If any person ask what you know about AIM? How briefly we can explain b'coz we cont expalin AIM in short time. AIM is an Application Implementation Methodology which is being followed for Oracle Apps Implementation project(ERP). It consists different phases and processes. They are Phases : 1. Definition 2. Operation Analysis 3. Solution Design 4. Build 5. Transition, And 6. Production

Processes : Project Management Business Process Mapping APplication and Technical Architecture Module Design and Build Data Conversion Documentation Business System Testing performance Testing Adoption and Learning Production Migration Each process has it's own standard templates(RD 20, RD 50, MD50,MD60,MD70,TE40,etc) to caputre various business scenarios,etc. If we follow these processes, phases and using standard (important) templates then we won't be missing out any of the implementation steps while implementing our ERP system. 1. 2. 3. 4. 5. 6. WHY WE HAVE TO ATTACH HR ORGANISATION TO BUSINESS GROUP WHAT ARE THE PROFILE OPTIONS WE USE FOR THE BUSINESS GROUP WHY WE HAVE TO RUN REPLICATE SEED DATA WHAT ARE THE OPTIONS ARE MANDATORY IN P2P EXPLAIN THE BUSINESS PROCESS WHAT ARE THE ADDITIONAL INFORMATION WE HAVE TO GIVE FOR BUSINESS GROUP HOW INVENTORY IS GET CONNECTED WITH PURCHASE ORDER EXPLAIN 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. FOR WHICH ORGANISATION WE DEFINE WORKDAY CALENDER TO DEFINE POSITION HIERARCHY WHAT ARE THE PRE REQUISITES WHAT IS APPROVAL GROUP AND APPROVAL ASSIGNMENTS HOW MANY DOCUMENT TYPE ARE THERE? WHAT IS THE USE OF SUB INVENTORY WHICH TYPE OF REQUISITION WILL USE IN PURCHASING WHAT ARE THE TYPE OF RFQS WHY WE HAVE TO DO QUOTE ANALYSIS & HOW MANY SUPPLIERS ARE MANDATORY STANDARD PURCHSE ORDER IS USED FO WHAT WE HAVE TO DO AFTER PLAN PURCHASE ORDER IS APPROVED WHICH TYPE OF PURCHASE ORDER WE HAVE TO PREPARE FOR CONTRACT PURCHASE AGREEMENT & WHO WHAT IS AUTO CREATE BY USING COPY DOCUMENT WHAT KIND OF DOCUMENTS WE CAN PREPARE FROM RFQS WHICH PROGRAMME WE HAVE TO RUN FOR HIERARCHEY WHAT WE HAVE TO DO IF LIMIT IS CROSSED HOW TO CLOSE THE PURCHASE ORDER PO CHARGE ACCOUNT IS DEFAULTS FROM WHICH OPTION WHY WE USE NOTIFICATION SUMMARY WHAT IS TOLRENCE WHAT IS PROGRAMME NAME TO PRINT RFQ WHAT IS PRICE BREAK