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How to Define Operating Unit in R12

An organization that uses Oracle subledgers, such as Oracle Cash Management, Order Management and Shipping Execution, Oracle Payables, Oracle Purchasing, Oracle Receivables, and related products. It may be a sales office, a division, or a department. Operating units are not associated with legal entities. 

Operating units are assigned to ledgers and a default legal context. Information is secured by operating unit for these applications using responsibilities. Each user can access, process, and report on data only for the operating units assigned to the MO: Operating Unit or MO: Security Profile profile option. 

The MO: Operating Unit profile option only provides access to one operating unit. 

The MO: Security Profile provides access to multiple operating units from a single responsibility. You can define operating units from the Define Organization window in Oracle HRMS or from Accounting Setup Manager in General Ledger.

For further reference: Visit Google.com and search for “Oracle Multiple Organization Manual”. download the pdf file for detailed information on multiple ORG.

Prerequisites for defining operating unit:

 1. Define Location.
 2. Define Business Group.
 3. Define Ledger.

 Navigation: HRMS –> Work Structures –> Organization –> Description.

Click on New.

Type your operating unit name, type ,location and organization classification.

Click on Others.

Selecoperating unit information.

Enter the Primary Ledger nameLegal entity name and Operating unit short code

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