Oracle R12 IBY Electronic Payment

Automation and Approval

Session ID:
10763

Prepared by:
Renan Evangelista
Technical Analyst
Emerson Automation Solutions

Remember to complete your evaluation for this session within the app!
7-April-2019
Presenter
Renan Evangelista

• Oracle Certified Professional

• More than 12 years experience in Oracle EBS Workspace
• Oracle EBS Solutions Architect/Technical Analyst/Consultant
Objective
1. To demonstrate the EFT automation and approval process
2. To allow the approval and/or rejection action outside of Oracle EBS thus giving the
business user more flexibility and effectiveness.
3. To enable the option of full automation from payment creation, PPR submission,
approval/rejection, transfer, acknowledgement and remittance without user
intervention.
4. To eliminates most of the manual process resulting to a more efficient handling of
Electronic Fund Disbursement.
Overview of Oracle Payments Electronic Fund Transfer(EFT)
You can pay your suppliers electronically by delivering to your bank an electronic funds
transfer output file that Payables creates. Examples: NACHA, WIRE, ACH and SEPA.

Components
• Payment Profile
• Payee and Payer Bank Setup
• Payment Formatting and Transmission Media
• Payment Template
Original Process Flow

Validation process /
Kick off Payment System selects eligible Preliminary report is Payment Instruction is
Batch invoices to be paid manually downloaded generated
from Oracle

Final payment report is

Manager respond Manager Email is sent to AP downloaded from
with rejection Approve or manager for payment oracle
reason Reject authorization

- Automated
Payment Batch is Send
manually rejected Bank accepts file and Remittance
- Manual Payment Batch is Payment instruction is sends advice to
manually confirmed transferred to bank acknowledgement suppliers
- Submitted back to Oracle
Rejection report is
Manually emailed to VMT END
team
END
** Almost all of the processes and tasks require logging in to Oracle EBS
What are the Challenges
• Too many manual processes
1. Approval (Completion) and/or Rejection
2. Notification email
3. Report and attachment to the email
4. Electronic Fund Transfer program
5. Remittance advise
• Approver needs to login to EBS to execute the action
• Approver vacation rule is not automated
• Inconvenience
Propose Solution Process Flow
Manual Submit of PPR
Start
kicks off Payment Batch
Bank accepts file and sends
acknowledgement back to
Oracle
- Automated
- Manual
Receive acknowledgement and
void rejected payment ref. no.
Send email notification
Validation process / Automatic email is sent to
System automatically Payment Instruction is AP manager for payment
generated authorization with
based on predefined attachment
scheduled template
Payment Batch is AP managers
Payment instruction is
automatically approve or
automatically
confirmed reject thru
transferred to bank Approved
email
Reject
Automatically kickoff
remittance advice to Rejection email and
END reason is sent to AP
suppliers and send
notification email Analyst
Process Flow Explanation
• Payment Process Request(PPR) can be submitted manually or schedule for specific
date
• Build payment, validation and payment formatting concurrent programs will be
automatically triggered by IBY background engine
• After Formatting and payment instruction is completed, payment approval workflow
will be launched and will send the approval email.
• Approver approve or reject the payment using response template.
• Oracle Workflow parsed the response and call the payment confirmation program.
• Custom Request set (from Payment Profile DFF) will be submitted, it includes file
encryption and transmission(SCP) and the program to wait the bank
acknowledgement.
• Remittance program for the PPR/payment batch will be submitted
Automation Components and Tasks
▪ Setup payment profile
▪ Create payment template
▪ Define Approval hierarchy
▪ Identify and setup the approval trigger point
▪ Create Business Event
▪ Design and Build Oracle Workflow Approval Process
▪ Create stored procedure to handle the workflow function
▪ Additional Setup for a full automation
▪ Workflow Notification Mailer Setup in Oracle
Payment Profile Setup
Processing Type: Electronic
Payment Completion Point: Manual Setting Only
Allow Manual Setting of Point Completion will
be automatically checked

DFF is used to enable the Automation and

Approval process.
Optionally, another DFF handles the File
processing such as encrypting and transfer.
Payment Template Definition
The template should reference the Payment
Process Profile you defined earlier.
If the Automation DFF value is NO, then
Approval Workflow will not start.

All the STOP tasks in the Process

Automation should be unchecked to enable
the continuous processing without any stop
until the payment batch is formatted and
ready for approval.
Approval Hierarchy

Category Code form is used to define the approval hierarchy. Approval is defined per operating unit
and is further divided according to the total payment per batch of payment instructions.

You can also use Oracle AME and utilize the AME API to trigger the approval
Define the triggering point

"Format Payment Instructions with Text

Output" concurrent program will be
monitored thru business events.

Program Completed should be checked

After successful completion of this request

the approval workflow will start.
Business Events Definition

A custom subscription need to be added to “oracle.apps.fnd.concurrent.request.completed” standard

business event.

This business events kicks in for every concurrent program where business events->Program completed is
enabled
Business Event Definition Cont…

Phase should be between 1-99 to run synchronously.

PL/SQL Function is the custom stored procedure which will trigger the approval workflow.
Sample Store Procedure
FUNCTION Launch_approval (p_subscription_guid IN RAW, p_event IN OUT wf_event_t)
RETURN VARCHAR2
IS
l_param_list wf_parameter_list_t;

BEGIN
l_param_list := p_event.getparameterlist;

g_request_id := p_event.getvalueforparameter('REQUEST_ID');

IF l_param_list IS NOT NULL

THEN
FOR i IN l_param_list.FIRST .. l_param_list.LAST
LOOP
l_param_name := l_param_list (i).getname;
l_param_value := l_param_list (i).getvalue;
END LOOP;
END IF;

Launch_WF ( p_intruction_id => l_param_value , p_approver => g_approve);

RETURN 'SUCCESS’;
Exception
when others then
RETURN ‘ERROR’;
END Launch_approval;
Approval Workflow

Workflow has 3 focus, 1st is the attachment readiness, 2nd is the rejection path and 3rd is the approve
path.
Workflow Cont.. Attachment Assembly
It has 2 functions, 1 which checks if the attachment is ready, the other which
creates the attachment files. “Payment Process Request Status Report” output
and a customer csv file are the required attachment.
The concurrent request output is read and stored in a clob.
CSV file is generated using DBMS_SQL standard API. The pre-defined query is pass
to the API and the return value is stored in a clob.

Both clob’s are inserted to FND_LOBS table. The returning ID will be used as an address when generating attachment
via the workflow engine.
Below is sample code for workflow attribute value for the above attachments:
wf_engine.setitemattrtext (itemtype => l_itemtype, itemkey => l_itemkey, aname => 'ATTACHMENT_DOC1’,
avalue => 'PLSQLBLOB:XXYH_IBYP_CONTROL_PKG.notif_attach_procedure/' || l_itemkey );

wf_engine.setitemattrtext (itemtype => l_itemtype, itemkey => l_itemkey, aname => 'ATTACHMENT_DOC2', avalue =>
'PLSQLBLOB:XXYH_IBYP_CONTROL_PKG.notif_attach_procedure2/' || l_itemkey );

DBMS_LOB, DBMS_SQL and BFILENAME standard API are used to process the attachment
Workflow Cont.. Approve Path
• Approve function uses
IBY_DISBURSE_UI_API_PUB_PKG.mark_all_pmts_complete

• ACH File Processor uses the value in the Payment Profile

Transfer Processor DFF(Attribute2)

• DFF value is a Request Set with 3 concurrent programs

1. Process and transmit the formatted file.
2. Wait for the bank confirmation
3. Send remittance advise to the vendor

• Exception is handled and error messages will be sent to

Submitter and Approver
• Rejection Function calls standard API
IBY_DISBURSE_UI_API_PUB_PKG.terminate_pmt_instruction

• Rejection Email with reason will be sent to the Submitter

• Payment Process Request(PPR) will be marked as Terminated

• Any error and exception in the rejection process will be send

to the Submitter and Approver.
Workflow Notification Mailer Setup
Sample Approval Email
Sample Approve Response Sample Rejection Response
Conclusion

• It can be implemented with minimal efforts and with the use of oracle out of the box
functionality and standard development tools.
• Oracle payment process will be more effective and manual process can be avoided.
• Possibility is endless…..
Acknowledgment

I would like to acknowledge my

Business Analyst Adviser,
Mr. Susil Kumar Jayakumar

susilcse@gmail.com
(469 - 321 -1897)
renante.evangelista@emerson.com

Session ID:
10763

Remember to complete your evaluation for this session within the app!