- Central Procurement (P2P)
- Central Distribution (IR ISO)
- Drop Ship
2. Internal (O2C)
Vision Operations (V1) is based in USA. It has a 100 % owned subsidiary company called Vision Asia (VA). VA in turn has two subsidiaries – Vision Japan (VJ) and Vision China (VC). VJ has manufacturing facilities in Osaka (O1) and distribution center at Tokyo (T1). Due to tax advantages, V1 sources all the goods from china through VJ. Though the financial transactions between V1 and VC are routed through VJ, logistic movement of goods takes place directly between V1 and VC.
A key requirement for the global implementation of Oracle applications in such a complex business environment is the ability to process “intercompany transactions,” where one business unit (across OUs)invoices another for transfer of goods and services. Often these intercompany transactions involve transactions related to general expenses, funds transfer, salary transfers, asset transfers, royalty payments and product transfers.
For example, the organization structure depicted in figure 1 can be modeled in Oracle applications as depicted in Figure 2.
- Understand the corporation business entities and the relationship between them. Identify selling-shipping relationships and procuring-receiving relationships.
- Understand Oracle multi org structure and the building blocks in data structure.
- Breakup the business relationships into manageable process flow and map it to various entities in Oracle applications.