01

Procure to Pay Lifecycle Overview

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Objectives

After completing this module you should be able to do the

following:
Describe the procure to pay process flow
Describe the key areas in the procure to
pay process
Describe how the procure to pay process fits into the
Oracle E-Business Suite of applications

1-2

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Procure to Pay Lifecycle

Requisitions
Catalog
Content
Management

Purchase
Orders

Ordering
RFQs/
Quotations

Receiving

Sourcing

Invoice/
Payment

Analysis
Supplier
management

Reporting
Supplier
Performance

1-3

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Oracle Procure to Pay Process

Demand

Source

Purchase
requisition

1-4

Request for
quote (RFQ)

Supplier

Quotation

Order

Receive

Pay

Purchase order

Receipts

Payment

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Demand: Requisitions
Demand
Other
Systems
Inventory

WIP

ASCP

Order
Mgmt

Import/reschedule
requisitions
Internal
Order Mgmt
sales order
Approval
Manually
create

1-5

Requisition
Demand
Workbench
Copyright 2010, Oracle and/or its affiliates. All rights reserved.

PO

Source: RFQs and Quotations

Demand
Workbench

Supplier

Print/Send RFQ
Manual
Quotation
RFQ

Supplier
lists

1-6

Oracle Sourcing
or iSupplier Portal

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Optionally enter a recommended supplier on a

requisition
Use a supplier to issue a request for quotation
Use that same supplier when you enter a quotation
Use supplier information for purchase orders
Receive goods or services from suppliers
Return goods to suppliers
Pay the supplier for the goods or services purchased

Your
Company

Suppliers

Purchase requisition
Request for quote (RFQ)
Quotation or negotiation
Purchase order
Receipts and returns
Invoices and payments

1-7

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Suppliers

Quiz
When you set up a supplier for use in the Purchasing system,
you can use the supplier data on POs, Requisitions, Quotations,
Receipts, Payments and Returns.
1. True
2. False

1-8

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Purchase Orders
Approve
Manually create

Automatically create
PO
Demand Workbench

Maintain documents

Accept

Receive against PO

1-9

Revise

Control

Match invoices in
Payables

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Quiz
Oracle Purchasing supports the following Purchase Order types:
1. Standard
2. Active
3. In-Process
4. Blanket
5. Contract
6. Planned

1 - 10

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Receiving
Shipment
Supplier

Transfer

Receive

Inventory

Deliver

Order Entry

Inventory

Internal
shipment

Inspect

you can require inspection for some items

and dock-to-stock receipt for others
1 - 11

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Shop floor

Expense

Invoicing

Receive
invoices

If appropriate, match invoice

to
purchase order

PO

Invoice

Enter invoice
Enter basic
information
Enter detailed
information
1 - 12

Maintain invoices

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

File invoices

Payment

Select
approved
invoice

Confirm Payment
Process Request:
Confirm checks
Update invoice
Payment history

Pay invoice

Record manual
payment
Create manual
payment outside
Payables

Run
payments
in batch
Create
single
payments

Format payments:
Print checks
Load EFT data
Modify Payment Process
Request:
Remove/add invoices
Modify payment details

Create computergenerated
payment
1 - 13

Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Overview of Oracle Application Integration

Depreciation/ Asset
Transactions
Assets

Subledger
Subledger Entries General Ledger
Accounting

Assets
Payables/ Expenses/
Payments
Payables

Suppliers

Accounting

Receivables/
Revenue/ Receipts
Inventory
Activity

Customers

Items

1 - 14

Invoices

Accruals

Requisition/PO
Purchasing/
iProcurement

Receivables

Inventory

Order
Management

Internal Requisitions
Copyright 2010, Oracle and/or its affiliates. All rights reserved.

Summary

You should be able to do the following:

Describe the procure to pay process flow
Describe the key areas in the procure to
pay process
Describe how the procure to pay process fits into the
Oracle E-Business Suite of applications

1 - 15

Copyright 2010, Oracle and/or its affiliates. All rights reserved.