Session 2

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Bottle of water = clean water + plastic cap + plastic bottle + label = 2 egp

Think what it took for that bottle of water to get into your hands
1. Negotiate the plastic bottles  Packaging and boxes  for transportation to minimize
the size and to reduce the amount of waste.  Then all put on a piece of wood to make
it easy to put it on the trucks and unload it from the trucks to move it you need a forklift.
 to move it to the water factory you need a truck + driver + fuel and insurance.
2. Then you need a label.  you need to pay to a designer company to design the label.
And print for you then ship it you your plant.  need truck + driver + fuel and insurance.
3. When its in your plant you need to use energy for the machines and electricity. and in
that plant you have (employees + bottling machines and day to day consumables like
garbage bags, coffee tea and safety closes.)
4. Then you need access to clean water. And machines to purify the water and machines
to bottle the water.
5. Other machines to fix the labels to the water bottles. And other machines to package the
bottle of water and prepare them for shipping.
6. Then load them to the truck which means more truck + driver + fuel and insurance.
7. Then move it to distribution centres.
8. Then they need forklift again. Employees and energy.
9. Then they will go to retail store so again truck + driver + fuel and insurance.
10. Then it needs to be stored in a fridge means more energy.
11. Then you need on every stage of these a security guard somewhere
Around 10% of all that is gonna go as damaged and there is HR Employees of course.

Business group.

1. Employee numbering

2 payroll formulas

3 key flex fields.

Ledger.

CCCC

Currency.
Calendar

Chart of account.

Accounting convention

(Gathers accounting entries that happens anywhere within your ERP System. comes through SLA)

Legal entity

Rules and regulations.

Stores Bank Accounts. You can’t have multiple legal entities with one bank account.

Tax and territories.

Financial Statements

Balance Sheet or financial position statement shows (Assets equals liabilities plus owner equity)

Income Statement (revenue - expenses) if equals plus you make money if equals minus then you are
losing money.

Cash Flow Statement (Gathers Cash Transactions and only records cash.)

Trial balance (shows all the accounts in the chart of account. what came in and what went out and the
final balance within a specific dates) this is not to report but to prepare reports. And everything

Needs to equal 0 then you have a problem within your security rules. But the accounts and the balance
still there somewhere u just need to find it. As oracle ensures that validations happen.

Operating unit

Operations. Is this operating unit. Arrowed to produce PO and receive money and/or allowed to sell and
receive money.
Inventory.

Locator.

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