Spotlight on

Oracle Supply Chain Management Cloud

PHOTO

UPDATE 20B
JON CHORLEY, CSO & GVP, Product Strategy

Hello and Welcome. My name is Jon Chorley and it’s my pleasure to bring you this overview of the some of the
new and enhanced capabilities in Oracle Supply Chain Management Cloud, Update 20B.

With Update 20B, Oracle SCM Cloud delivers again against its commitment for continuous innovation, and
we’ve a lot to cover, so let’s begin.

First the Quality Management Clipboard. This feature enables users to utilize a clipboard within the Quality
work area to drag and drop Items from Recent Items, Favorites or the Clipboard into the Affected Objects or
Relationships tables. The clipboard provides a seamless user experience and eliminates the need for multiple
or redundant searching, thereby improving productivity.

Next, the ability to publish changes as an XML Package. Prior to this feature, supplier users needed to contact
internal users to request and receive change order information, typically generated as a report.
This feature improves and automates this process by allowing internal and supplier users to specify which
entities they wish to publish. A background process then generates an XML package containing the selected
entities. Once the process is completed, the user can download the XML zip file. Update 20B supports
engineering change orders, with other change order types on our roadmap.

Next, Additional Controls to allow you to further, and in a more granular way, secure change order workflows.
Additional Controls support:

• Seeded actions for different workflow statuses

• Change Order control for what users can and cannot
do can be configured at the change order role level
• Control who can promote or demote a change order
and to what status
• Control which attributes a user can edit (standard for
the entity, EFFs, all or none)

Next, enhancements to the approvals process to support Group Approvals. This allows you to:

• Define which approval groups require a sign-off

from one member versus all members
• Select “One response per status” to retain the behavior
of Response Required From View when a user signs off
for the group, with the approval being tracked in the history log
 • You can also have user-defined and web service-based
approval assignments at the same time

Note: You cannot have rule-based and web service-based approvals at the same time.

Next, the ability to share import maps using Functional Setup Manager:

• You can now use setup and maintenance work area

to export import maps into a CSV file from one Oracle
Product Hub Cloud instance and import them into
another instance
• You can also compare the import maps before
importing them into the target instance to
determine differences
• This makes the process of setting up import maps
in multiple instances more efficient

Finally, the last capability I want to highlight in PLM Update 20B is the ability to manage Supplier Products
using a REST service. You may:

• Use the Supplier Products REST service to upload

products from external systems and third parties
for import to Oracle Product Hub Cloud
• Select “One response per status” to retain the behavior
of Response Required From View when a user signs off
 • You can also use this REST service to upload products
from external systems into staging tables for import to
Oracle Product Hub Cloud
• This REST service allows your supplier product administrators
to manage (create, update, search, or delete) products
in the Supplier Portal

Switching now to Supply Chain Planning Cloud. With Update 20B, you can segment your business into various
multidimensional groupings of items, organizations, customer sites, and demand classes.

You can do so based upon supply chain characteristics such as cost and lead time as well as based upon
dynamic attributes of demand and supply such as demand volume, growth, and volatility. You can then tailor
your planning processes such as forecasting, inventory replenishment planning, and supply planning to the
unique requirements of each segment. As business conditions change and products progress through their life
cycle, these segments are adjusted automatically.

An Engineer-to-Order environment such as manufacturing heavy equipment, building a data center, and
constructing infrastructure - actual product configuration and manufacturing are finalized after the sales
contract is executed. In such situations, an ETO item is manually associated to a base configuration model.

With Update 20B in Demand Management Cloud, you can now collect and consolidate the shipment history
of ETO items to this base configuration model and then create statistical forecast for the model. The model
forecast is then exploded, consumed, and planned in the same way as any other model-option forecast.the
model. The model forecast is then exploded, consumed, and planned in the same way as any other model-
option forecast.
Manufacturing organizations often need to make assemblies which have long processing lead times. With
Update 20B, you are now able to determine and progressively cascade the offsets required to start each
upstream assembly item, considering its individual processing lead time. By appropriately setting back the
production start of all assembly items over the planning months or quarters, you can strategically plan for
capacity, critical supplies and inventories in the sales and operations plan to better orchestrate multi-stage
manufacturing.

On now to Manufacturing – the largest new capability in Update 20B is ability to manually issue the assembly
component for a rework work order. Prior to this release, the item to be reworked was always automatically
issued to the work order, and no changes were allowed after the work order was released.

Manufacturing Update 20B introduces the ability to manually issue or return an assembly component of a
rework work order, decrease the quantity of the work order after release, and cancel a rework work order. This
enables you to better handle quality issues that trigger rework assemblies to be returned after issue, ensure
you pay only for the reworked assembly quantities to your outside processing supplier while the work order is
in-flight.

Update 20B also gives you the ability to synchronize resource and work order details with IoT Production
Monitoring Cloud in real time using a push mechanism. You decide which specific plants need to be synchronized
with IoT Production Monitoring, and then whenever you create or update production master data, such as
resources and resource instances, the data is automatically synchronized in real time with IoT Production
Monitoring Cloud. Similarly, while creating, updating or transacting discrete manufacturing work orders or its
operations, the work order is synchronized in real time with IoT Production Monitoring Cloud and vice versa.
Real-time synchronization of data from Manufacturing Cloud to IoT Production Monitoring Cloud ensures
accurate and automatic reporting of production quantities and collection of other sensor parameters.

In addition, IoT Production Monitoring now provides automated reporting of production quantity to
Manufacturing Cloud. Users can view the number of goods that are rejected or scrapped at the operations
level, such as for a machine or an operator. This information is automatically posted to Oracle Manufacturing
Cloud.

Another new capability allows users to track work orders for specific items that have a status of Completed
or Pending. IoT Production Monitoring Cloud automatically pushes status of such work orders to Oracle
Manufacturing Cloud.

Now Maintenance and Installed Base where there are several enhancements.

First, Update 20B allows you to automatically update asset meters values with IoT data, helping to facilitate
corrective and preventive maintenance.

Next, in your Work Order Description, Work Order Type, and Work Order Subtype fields, you can get default
data derived from the context asset or applied maintenance work definition.

Finally, you are able to default work order and operation when creating purchase requisitions, improving user
productivity and accuracy.

In IoT Asset Monitoring users may now create user-configurable widgets and customizable layouts of these
widgets within the dashboard. In addition, they may restrict visibility of dashboards to certain groups or roles.
Clicking on a widget will show an expanded panel with multiple data views that include a map view, tabular view
and a graphical chart for sensor data.

Another feature that has been added based on customer requests is a customizable heads-up display in the
map dashboard to allow for quick viewing of asset data without having to go into the asset details view.

Update 20B further expands our integrated field service & depot repair capabilities.

You can now use discounts for parts, labor and expenses defined in Subscription Management to accurately
invoice for services rendered.

We have also streamlined the shipping process for depot repair. When creating the return/RMA, you can now
easily create the corresponding shipment order. This also links the return to the shipment lines, ensuring the
installed base asset information is automatically updated when the broken product is received, and when the
repaired product is shipped.

This not only saves you time when repairing and returning the product to your customer, but it also ensures
you always have the most up-to-date and accurate information about your customer’s asset.

In Inventory Update 20B - In many government regulated industries, tracking changes to lot and serialized goods
is essential to maintaining audit compliance. Now you can use Oracle Cloud’s seeded auditing capabilities to
track and report on changes to your lot and serialized good’s attributes, including your user defined descriptive
flexfields.

When using a 3PL or WMS for your warehouse execution, accurate communication and updates between
Oracle Inventory Cloud and your 3PL or WMS system is critical. In many instances, it isn’t always efficient to
only communicate a customer order to your 3PL or WMS when the entire order quantity is available. Alternatively,
unplanned events happen and sometimes an entire customer order can’t be fulfilled at once. So now, with
Update 20B, you have the ability to interface partially available orders to your 3PL or WMS and subsequently
allow your 3PL or WMS to send backorders into Oracle Inventory Cloud.

When coordinating cycle counts within your organization, it sometimes makes sense to assign your goods
based upon a specific or common attribute. For instance, you can assign goods by a specific brand or a
particular state the goods are in, like raw semi-finished, or fully-finished. Due to the nature of your warehouse
layout or inventory turnover, the goods that share this common attribute may be spread across multiple sub-
inventories, but conveniently all belong to the same category of their assigned catalog.

Now you can add these common items to a cycle count, regardless of what sub-inventory they belong to, by
selecting the particular category they are assigned to.

In Order Management Update 20B for Pricing, we completed the high-volume upload capabilities for pricing and
discounting rules. The import utility leverages the existing FBDI architecture but offers superior performance
and efficiencies to manage large data volumes for companies that for example need to process significant
periodic updates, continuously synchronize data with third-party systems or handle data migration from their
legacy systems.

The data import capability supports maintenance of pricing and discount rules at all levels including list headers,
items, simple and attribute-based rules including descriptive flexfield data.

Also in Order Management Update 20B, your business may require that different types of orders be approved
by specific users. For example, an order from a government agency should be approved by employees that are
familiar with the policies of the agency.
With this release, you will be able to define approval rules using order type ensuring the right people are
approving an order. This helps reduce potential order exception conditions for faster order processing.

Oracle Transportation Management Update 20B has a new 3D load configuration editing tool allows users to
repack existing shipments in Oracle Transportation Management. The tool enables users to manually adjust
the 3D optimized solution to accommodate late changes as well as incorporate local knowledge and experience
as part of finalizing the shipment. The user can unpack the shipment and repack by dragging the items and
placing the items back in the equipment while visually seeing the updates.

In Oracle Global Trade Management Update 20B, we continue to make improvements that assist companies
in focusing on critical trade information. We’ve added a new Item Qualification Manager that enables users to
create workbenches and agents to monitor trade agreement qualifications.

With the current volatility in trade data, we’ve also improved managing regulatory content from providers.
New features in 20B monitor updates to trade content and raise failure events for issues. We’ve also added
SmartLinks to enable users to view the details of the content set.

Now on to Cost Management and SFO. Cost Management Cloud applies variances from Payables such as
such as invoice price variance, exchange rate variance, and tax rate variance to true-up the inventory cost by
applying them as acquisition cost adjustments. The true-up of inventory cost is carried out based on the cost
method.

Since the amount being applied as an acquisition cost adjustment depends on proration to receipt quantity,
there could be a remaining balance in receiving inspection account due to differences between receipt quantity
and Invoice quantity.
In case of standard costing especially, this remaining amount in the receiving inspection account, being reflected
in the balance sheet instead of an income statement, may pose an accounting challenge since as the accounting
of these variances as an expense was already complete in Payables, which then gets reversed into balance sheet.

This feature lets you setup a profile option to ignore acquisition cost adjustments from Payables across cost
methods.

Additional capabilities have been added to Brazilian Fiscal Document Capture (FDC) to improve processing
efficiency.

First, you can now use the additional tax determinants that have been added to fiscal document lines. These
attributes include tax classification code, location of final discharge, and assessable value.

Secondly, if you import your fiscal documents, you may do so without an explicit reference to a source document,
such as a purchase order or transfer order. Oracle Fiscal Document Capture associates the fiscal document
lines to matching source documents, limiting the need to intervene with the transactions being imported.

Qualifiers in supply Chain Financial Orchestration allows you to model intercompany financial flows differently
based on rules. Having different financial flows would also allow you to model your tax efficient setups
appropriately. For example, the supplier country in a dropship flow may determine the supplier facing entity
that may be different if the product is locally purchased. You can set up and use the following orchestration
qualifiers to determine your financial flows for drop shipment orchestration:

• Supplier related – supplier, suppler site, supplier country

• Customer related – sold-to party, country of sold-to party,
ship-to party, ship-to address, ship-to-country
• Order related – order type, order management business unit
Financial Orchestration for non-shippable sales allows you enable intercompany financial flows for bill-only
order flows. If your business process flow does not require an orchestration process to be defined for bill-only
flows, you can ignore financial orchestration by using this option.

Similarly, when your customer returns a product that was originally shipped on an intercompany sales order,
Supply Chain Financial Orchestration uses the original shipment reference of the forward-flow sales order
that is referenced. If the shipment cannot be determined, the exception is available for you to clear from the
Monitor Financial Orchestration Execution user interface. In situations, such as referenced RMA against a
migrated sales order or a bill only order, you may not have original shipment reference and clearing exceptions
on a case-by- case basis might be time-consuming.

This feature enables you to automatically process these transactions without clearing process exceptions.

We recently launched the Oracle Business Network, or OBN, and have over the last few releases been enhancing
that capability. With Update 20B, supplier administrators within a buying organization can now easily connect
to Trading Partners registered on the Oracle Business Network from within Fusion Supplier Management.
Within the Fusion supplier profile, an administrator can check for OBN Trading Partners that already match to
the current supplier. When they select a matching OBN Trading Partner, the setups on OBN and within CMK,
to enable sending and receiving of business documents electronically, are then carried out automatically. This
makes it much easier for Oracle’s customers to leverage the connections already available on OBN and greatly
reduces the workload for administrators.

In IoT Connected Worker, organizations can now keep track of equipment certifications and trainings completed
by a worker. This information can be used to determine if a worker is eligible to be assigned to certain high-risk
locations.

Finally, in Oracle Intelligent Track and Trace we are introducing a number of new capabilities that simplify order
to fulfillment monitoring and serial tracking. The order to fulfillment monitoring capabilities enable complete
supply chain traceability from orders to fulfillment spanning multiple supply chain modules. The order to
fulfillment traceability will work across not only Oracle SCM modules but also across heterogeneous multi-
vendor solutions. Serial tracking allows tracking serials and lots from inception to retirement, including chain
of custody, and provenance of component serials. Another nice feature for users is the ability to build custom
dashboards and KPIs using a business-user friendly UI to customize the application for your business.

Well that that was a lot but it’s all we have time for. I think you’ll agree Update 20B is yet another awesome
release.

My name is Jon Chorley, and thank you for watching.

Resources
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