JD Edwards EnterpriseOne Procurement Management 8.12 Implementation Guide

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JD Edwards EnterpriseOne

Procurement Management 8.12

Implementation Guide

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JD Edwards EnterpriseOne Procurement Management 8.12 Implementation Guide SKU E1_812APR-B_0406

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Oracle, JD Edwards, PeopleSoft, and Siebel are registered trademarks of Oracle Corporation and/or its affiliates. Other names may be trademarks of their respective owners.

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Oracle takes no responsibility for its use or distribution of any open source or shareware software or documentation and disclaims any and all liability or damages resulting from use of said software or documentation. The following open source software may be used in Oracle’s PeopleSoft products and the following disclaimers are provided. This product includes software developed by the Apache Software Foundation (http://www.apache.org/). Copyright © 1999-2000 The Apache Software Foundation. All rights reserved. THIS SOFTWARE IS PROVIDED “AS IS’’ AND ANY EXPRESSED OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE DISCLAIMED. IN NO EVENT SHALL THE APACHE SOFTWARE FOUNDATION OR ITS CONTRIBUTORS BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR

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About This Documentation Preface

JD Edwards EnterpriseOne implementation guides provide you with the information that you need to implement and use JD Edwards EnterpriseOne applications from Oracle.

This preface discusses:

• JD Edwards EnterpriseOne application prerequisites. • Application fundamentals.

• Documentation updates and printed documentation. • Additional resources.

• Typographical conventions and visual cues. • Comments and suggestions.

• Common fields in implementation guides.

Note. Implementation guides document only elements, such as fields and check boxes, that require additional

explanation. If an element is not documented with the process or task in which it is used, then either it requires no additional explanation or it is documented with common fields for the section, chapter, implementation guide, or product line. Fields that are common to all JD Edwards EnterpriseOne applications are defined in this preface.

JD Edwards EnterpriseOne Application Prerequisites

To benefit fully from the information that is covered in these books, you should have a basic understanding of how to use JD Edwards EnterpriseOne applications.

You might also want to complete at least one introductory training course, if applicable.

You should be familiar with navigating the system and adding, updating, and deleting information by using JD Edwards EnterpriseOne menus, forms, or windows. You should also be comfortable using the World Wide Web and the Microsoft Windows or Windows NT graphical user interface.

These books do not review navigation and other basics. They present the information that you need to use the system and implement your JD Edwards EnterpriseOne applications most effectively.

Application Fundamentals

Each application implementation guide provides implementation and processing information for your JD Edwards EnterpriseOne applications.

For some applications, additional, essential information describing the setup and design of your system appears in a companion volume of documentation called the application fundamentals implementation guide. Most product lines have a version of the application fundamentals implementation guide. The preface of each

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General Preface

The application fundamentals implementation guide consists of important topics that apply to many or all JD Edwards EnterpriseOne applications. Whether you are implementing a single application, some combination of applications within the product line, or the entire product line, you should be familiar with the contents of the appropriate application fundamentals implementation guides. They provide the starting points for fundamental implementation tasks.

Documentation Updates and Printed Documentation

This section discusses how to: • Obtain documentation updates. • Order printed documentation.

Obtaining Documentation Updates

You can find updates and additional documentation for this release, as well as previous releases, on Oracle’s PeopleSoft Customer Connection website. Through the Documentation section of Oracle’s PeopleSoft Customer Connection, you can download files to add to your Implementation Guides Library. You’ll find a variety of useful and timely materials, including updates to the full line of JD Edwards EnterpriseOne documentation that is delivered on your implementation guides CD-ROM.

Important! Before you upgrade, you must check Oracle’s PeopleSoft Customer Connection for updates to the

upgrade instructions. Oracle continually posts updates as the upgrade process is refined.

See Also

Oracle’s PeopleSoft Customer Connection, http://www.oracle.com/support/support_peoplesoft.html

Ordering Printed Documentation

You can order printed, bound volumes of the complete line of JD Edwards EnterpriseOne documentation that is delivered on your implementation guide CD-ROM. Oracle makes printed documentation available for each major release of JD Edwards EnterpriseOne shortly after the software is shipped. Customers and partners can order this printed documentation by using any of these methods:

• Web • Telephone • Email

Web

From the Documentation section of Oracle’s PeopleSoft Customer Connection website, access the

PeopleBooks Press website under the Ordering PeopleBooks topic. Use a credit card, money order, cashier’s check, or purchase order to place your order.

Telephone

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General Preface

Email

Send email to MMA Partners at [email protected].

See Also

Oracle’s PeopleSoft Customer Connection, http://www.oracle.com/support/support_peoplesoft.html

Additional Resources

The following resources are located on Oracle’s PeopleSoft Customer Connection website:

Resource Navigation

Application maintenance information Updates + Fixes

Business process diagrams Support, Documentation, Business Process Maps Interactive Services Repository Support, Documentation, Interactive Services Repository Hardware and software requirements Implement, Optimize, and Upgrade; Implementation

Guide; Implementation Documentation and Software; Hardware and Software Requirements

Installation guides Implement, Optimize, and Upgrade; Implementation Guide; Implementation Documentation and Software; Installation Guides and Notes

Integration information Implement, Optimize, and Upgrade; Implementation Guide; Implementation Documentation and Software; Pre-Built Integrations for PeopleSoft Enterprise and JD Edwards EnterpriseOne Applications

Minimum technical requirements (MTRs) (JD Edwards EnterpriseOne only)

Implement, Optimize, and Upgrade; Implementation Guide; Supported Platforms

Documentation updates Support, Documentation, Documentation Updates Implementation guides support policy Support, Support Policy

Prerelease notes Support, Documentation, Documentation Updates,

Category, Release Notes

Product release roadmap Support, Roadmaps + Schedules

Release notes Support, Documentation, Documentation Updates,

Category, Release Notes

Release value proposition Support, Documentation, Documentation Updates, Category, Release Value Proposition

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General Preface

Resource Navigation

Troubleshooting information Support, Troubleshooting

Upgrade documentation Support, Documentation, Upgrade Documentation and Scripts

Typographical Conventions and Visual Cues

This section discusses: • Typographical conventions. • Visual cues.

• Country, region, and industry identifiers. • Currency codes.

Typographical Conventions

This table contains the typographical conventions that are used in implementation guides: Typographical Convention or Visual Cue Description

Bold Indicates PeopleCode function names, business function

names, event names, system function names, method names, language constructs, and PeopleCode reserved words that must be included literally in the function call.

Italics Indicates field values, emphasis, and JD Edwards EnterpriseOne or other book-length publication titles. In PeopleCode syntax, italic items are placeholders for arguments that your program must supply.

We also use italics when we refer to words as words or letters as letters, as in the following: Enter the letter O.

KEY+KEY Indicates a key combination action. For example, a plus

sign (+) between keys means that you must hold down the first key while you press the second key. For ALT+W, hold down the ALTkey while you press the W key.

Monospace font Indicates a PeopleCode program or other code example.

“ ” (quotation marks) Indicate chapter titles in cross-references and words that are used differently from their intended meanings.

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General Preface

Typographical Convention or Visual Cue Description

. . . (ellipses) Indicate that the preceding item or series can be repeated any number of times in PeopleCode syntax.

{ } (curly braces) Indicate a choice between two options in PeopleCode syntax. Options are separated by a pipe ( | ).

[ ] (square brackets) Indicate optional items in PeopleCode syntax.

& (ampersand) When placed before a parameter in PeopleCode syntax, an ampersand indicates that the parameter is an already instantiated object.

Ampersands also precede all PeopleCode variables.

Visual Cues

Implementation guides contain the following visual cues.

Notes

Notes indicate information that you should pay particular attention to as you work with the JD Edwards EnterpriseOne system.

Note. Example of a note.

If the note is preceded by Important!, the note is crucial and includes information that concerns what you must do for the system to function properly.

Important! Example of an important note.

Warnings

Warnings indicate crucial configuration considerations. Pay close attention to warning messages.

Warning! Example of a warning.

Cross-References

Implementation guides provide cross-references either under the heading “See Also” or on a separate line preceded by the word See. Cross-references lead to other documentation that is pertinent to the immediately preceding documentation.

Country, Region, and Industry Identifiers

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General Preface

Example of a country-specific heading: “(FRA) Hiring an Employee”

Example of a region-specific heading: “(Latin America) Setting Up Depreciation”

Country Identifiers

Countries are identified with the International Organization for Standardization (ISO) country code.

Region Identifiers

Regions are identified by the region name. The following region identifiers may appear in implementation guides: • Asia Pacific • Europe • Latin America • North America Industry Identifiers

Industries are identified by the industry name or by an abbreviation for that industry. The following industry identifiers may appear in implementation guides:

• USF (U.S. Federal)

• E&G (Education and Government)

Currency Codes

Monetary amounts are identified by the ISO currency code.

Comments and Suggestions

Your comments are important to us. We encourage you to tell us what you like, or what you would like to see changed about implementation guides and other Oracle reference and training materials. Please send your suggestions to Documentation Manager, Oracle Corporation, 7604 Technology Way, Denver, CO, 80237. Or email us at [email protected].

While we cannot guarantee to answer every email message, we will pay careful attention to your comments and suggestions.

Common Fields Used in Implementation Guides

Address Book Number Enter a unique number that identifies the master record for the entity. An address book number can be the identifier for a customer, supplier, company, employee, applicant, participant, tenant, location, and so on. Depending on the application, the field on the form might refer to the address book number as the customer number, supplier number, or company number, employee

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As If Currency Code Enter the three-character code to specify the currency that you want to use to view transaction amounts. This code enables you to view the transaction amounts as if they were entered in the specified currency rather than the foreign or domestic currency that was used when the transaction was originally entered.

Batch Number Displays a number that identifies a group of transactions to be processed by the system. On entry forms, you can assign the batch number or the system can assign it through the Next Numbers program (P0002).

Batch Date Enter the date in which a batch is created. If you leave this field blank, the system supplies the system date as the batch date.

Batch Status Displays a code from user-defined code (UDC) table 98/IC that indicates the posting status of a batch. Values are:

Blank: Batch is unposted and pending approval.

A: The batch is approved for posting, has no errors and is in balance, but

has not yet been posted.

D: The batch posted successfully.

E: The batch is in error. You must correct the batch before it can post. P: The system is in the process of posting the batch. The batch is unavailable

until the posting process is complete. If errors occur during the post, the batch status changes to E.

U: The batch is temporarily unavailable because someone is working with

it, or the batch appears to be in use because a power failure occurred while the batch was open.

Branch/Plant Enter a code that identifies a separate entity as a warehouse location, job, project, work center, branch, or plant in which distribution and manufacturing activities occur. In some systems, this is called a business unit.

Business Unit Enter the alphanumeric code that identifies a separate entity within a business for which you want to track costs. In some systems, this is called a branch/plant.

Category Code Enter the code that represents a specific category code. Category codes are user-defined codes that you customize to handle the tracking and reporting requirements of your organization.

Company Enter a code that identifies a specific organization, fund, or other reporting entity. The company code must already exist in the F0010 table and must identify a reporting entity that has a complete balance sheet.

Currency Code Enter the three-character code that represents the currency of the transaction. JD Edwards EnterpriseOne provides currency codes that are recognized by the International Organization for Standardization (ISO). The system stores currency codes in the F0013 table.

Document Company Enter the company number associated with the document. This number, used in conjunction with the document number, document type, and general ledger date, uniquely identifies an original document.

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General Preface

If two or more original documents have the same document number and document type, you can use the document company to display the document that you want.

Document Number Displays a number that identifies the original document, which can be a voucher, invoice, journal entry, or time sheet, and so on. On entry forms, you can assign the original document number or the system can assign it through the Next Numbers program.

Document Type Enter the two-character UDC, from UDC table 00/DT, that identifies the origin and purpose of the transaction, such as a voucher, invoice, journal entry, or time sheet. JD Edwards EnterpriseOne reserves these prefixes for the document types indicated:

P: Accounts payable documents. R: Accounts receivable documents. T: Time and pay documents. I: Inventory documents. O: Purchase order documents. S: Sales order documents.

Effective Date Enter the date on which an address, item, transaction, or record becomes active. The meaning of this field differs, depending on the program. For example, the effective date can represent any of these dates:

• The date on which a change of address becomes effective. • The date on which a lease becomes effective.

• The date on which a price becomes effective.

• The date on which the currency exchange rate becomes effective. • The date on which a tax rate becomes effective.

Fiscal Period and Fiscal

Year Enter a number that identifies the general ledger period and year. For manyprograms, you can leave these fields blank to use the current fiscal period and year defined in the Company Names & Number program (P0010).

G/L Date (general ledger

date) Enter the date that identifies the financial period to which a transaction will beposted. The system compares the date that you enter on the transaction to the fiscal date pattern assigned to the company to retrieve the appropriate fiscal period number and year, as well as to perform date validations.

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JD Edwards EnterpriseOne Procurement

Management Preface

This preface discusses:

• JD Edwards EnterpriseOne products.

• JD Edwards EnterpriseOne application fundamentals. • Common fields used in this implementation guide.

JD Edwards EnterpriseOne Products

This implementation guide refers to these JD Edwards EnterpriseOne products from Oracle: • JD Edwards EnterpriseOne Accounts Payable.

• JD Edwards EnterpriseOne Address Book. • JD Edwards EnterpriseOne Advanced Pricing. • JD Edwards EnterpriseOne Bulk Stock Inventory.

• JD Edwards EnterpriseOne Data Interface for Electronic Data Interchange. • JD Edwards EnterpriseOne General Ledger.

• JD Edwards EnterpriseOne Inventory Management. • JD Edwards EnterpriseOne Project Costing.

• JD Edwards EnterpriseOne Procurement and Subcontract Management. • JD Edwards EnterpriseOne Manufacturing - PDM.

• JD Edwards EnterpriseOne Quality Management. • JD Edwards EnterpriseOne Requirements Planning. • JD Edwards EnterpriseOne Requisition Self Service. • JD Edwards EnterpriseOne Transportation Management. • JD Edwards EnterpriseOne Warehouse Management.

JD Edwards EnterpriseOne Application Fundamentals

Additional, essential information describing the setup and design of your system appears in a companion volume of documentation called JD Edwards EnterpriseOne Financial Management Application

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Preface

See JD Edwards EnterpriseOne Financial Management Solutions Application Fundamentals 8.12

Implementation Guide, “JD Edwards EnterpriseOne Financial Management Application Fundamentals

Preface”.

Common Fields Used in This Implementation Guide

Approval Route Code Enter a code that determines to whom an order is routed for approval.

Branch/Plant Enter an alphanumeric code that identifies a separate entity within a business for which you want to track costs. For example, a business unit might be a warehouse location, job, project, work center, branch, or plant.

You can assign a business unit to a document, entity, or person for purposes of responsibility reporting. For example, the system provides reports of open accounts payable and accounts receivable by business unit to track equipment by responsible department.

Business unit security might prevent you from viewing information about business units for which you have no authority.

Buyer Enter the address book number that identifies who is responsible for setting up and maintaining the correct stocking levels for each inventory item.

Discount Factor Enter the factor that the system applies to the unit price of an inventory item to determine the net price. The system retrieves this value from the inventory pricing rules if you have assigned a rule to this item. The pricing rule setup determines if the system multiplies the unit price by this value or adds to or deducts from the unit price.

Evaluated Receipts Enter a code that indicates if an order is eligible for the evaluated receipt settlement process. An evaluated receipt settlement indicates that you have an agreement with the supplier to create vouchers based on the items that you receive. You use the Evaluated Receipt Settlement (R43800) procedure to create vouchers from receipt records. As a result, the supplier does not send you invoices and you can bypass the Voucher Match procedure. Values are:

N: Not eligible for evaluated receipt settlement processing. Y: Eligible for evaluated receipt settlement processing. I : Receipt transaction is in process.

T: Eligible for evaluated receipt settlement processing. However, a tolerance

error occurred during the receipt process.

R: Eligible for evaluated receipt settlement processing. However, the receipt is

currently in the receipt routing process.

V: A voucher has been created for the receipt transaction using the evaluated

receipt settlement process.

Extended Cost Enter a value that is equal to the number of units multiplied by the unit price.

Freight Handling Code Enter a code that exists in the Freight Handling Code (42/FR) UDC that indicates the method by which supplier shipments are delivered. For example, the supplier could deliver to the dock, or you could pick up the shipment at the

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Preface

supplier’s dock. You can also use these codes to indicate who has responsibility for freight charges. For example, you can have a code indicating that the customer legally takes possession of goods as soon as they leave the supplier warehouse and is responsible for transportation charges to the destination.

G/L Category and G/L Offset (general ledger

category and general ledger offset)

Enter a value from the G/L Posting Code (41/9) UDC that identifies the general ledger offset that system uses when it searches for the account to which it posts the transaction. If you do not want to specify a class code, enter

**** (four asterisks) in this field.

You can use automatic accounting instructions (AAIs) to predefine classes of automatic offset accounts for the JD Edwards EnterpriseOne Inventory Management system from Oracle, JD Edwards EnterpriseOne Procurement system from Oracle, and JD Edwards EnterpriseOne Sales Order Management system from Oracle. You might assign general ledger class codes as follows:

IN20: Direct ship orders IN60: Transfer orders IN80: Stock sales

The system can generate accounting entries based upon a single transaction. For example, a single sale of a stock item can trigger the generation of accounting entries similar to:

Sales-Stock (Debit) xxxxx.xx

Accounts Receivable Stock Sales (Credit) xxxxx.xx Posting Category: IN80

Stock Inventory (Debit) xxxxx.xx Stock COGS (Credit) xxxxx.xx

The system uses the class code and the document type to find the AAI.

Hold Code Enter a code that exists in the Hold Codes (42/HC) UDC that identifies why an order is on hold.

Item Price Group Enter a code that exists in the Item Price Groups (40/PI) UDC that identifies an inventory price group for an item. Inventory price groups have unique pricing structures that direct the system to incorporate discounts or markups on items on sales and purchase orders. The discounts or markups are based on the quantity, dollar amount, or weight of the item ordered. When you assign a price group to an item, the item takes on the same pricing structure defined for the inventory price group. You must assign an inventory price group to the supplier or customer, as well as to the item, for the system to interactively calculate discounts and markups on sales orders and purchase orders.

Landed Cost Rule Enter a code that exists in the Landed Cost Rule (41/P5) UDC that indicates the landed cost rule for an item. The landed cost rule determines purchasing costs that exceed the actual price of an item, such as broker fees or commissions. You set up landed cost rules on the Landed Cost Revisions form.

Last Status Enter a code that exists in the Activity/Status Codes (40/AT) UDC that indicates the last step in the processing cycle that this order line has

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Ledger Type Enter a code that exists in the Ledger Types (09/LT) UDC that specifies the type of ledger, such as AA (Actual Amounts), BA (Budget Amount), or AU (Actual Units). You can set up multiple, concurrent accounting ledgers within the general ledger to establish an audit trail for all transactions.

Line Type Enter a code that controls how the system processes lines on a transaction. It controls the systems with which the transaction interfaces, such as Oracle’s JD Edwards EnterpriseOne General Ledger, Oracle’s JD Edwards EnterpriseOne Job Cost, Oracle’s JD Edwards EnterpriseOne Accounts Payable, Oracle’s JD Edwards EnterpriseOne Accounts Receivable, and JD Edwards EnterpriseOne Inventory Management. It also specifies the conditions under which a line prints on reports, and it is included in calculations. Values are:

S: Stock item J: Job cost N: Nonstock item F: Freight

T: Text information

M: Miscellaneous charges and credits W: Work order

Next Status Enter a code that exists in the Activity/Status Codes (40/AT) UDC that indicates the next step in the order flow of the line type.

Order Type Enter a code that exists in the Document Type (00/DT) UDC that identifies the type of document. This code also indicates the origin of the transaction. There are reserved document type codes for vouchers, invoices, receipts, and time sheets, which create automatic offset entries during the post program. (These entries are not self-balancing when you originally enter them.)

These document types are predefined and should not be changed:

P: Accounts Payable documents. R: Accounts Receivable documents. T: Payroll documents.

I: Inventory documents.

O: Purchase Order Processing documents.

J: General Ledger/Joint Interest Billing documents. S: Sales Order Processing documents.

Pricing Rule Enter a code that exists in the Item Price Groups (40/PI) UDC to classify inventory by pricing rules. Typically, these categories correspond to the major sections in the inventory price book. You can set up as many detail categories as you need. You can use a single code for sales, purchasing, order/basket, and contract pricing. If you set up a contract rule, it must equal the short number for the item under contract.

Print Message Enter a value from the Print Messages (40/PM) UDC to specify with print message to use. Examples of text used in messages are engineering specifications, hours of operation during holiday periods, and special delivery

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Subledger Enter a code that identifies a detailed, auxiliary account within a general ledger account. A subledger can be an equipment item number or an address book number. If you enter a subledger, you must also specify the subledger type.

Supplier Enter the name or number that identifies an address book record. You can use this field to enter and locate information. If you enter a value other than the address book number (AN8), such as the long address or tax ID, you must precede it with the special character that is defined in the Address Book constants. When the system locates the record, it returns the address book number into the field.

Tax Explanation Code Enter a code that exists in the Tax Explanation Codes (00/EX) UDC that controls the algorithm that the system uses to calculate tax and general ledger distribution amounts. The system uses the tax explanation code in conjunction with the tax rate area and tax rules to determine how the tax is calculated. Each transaction pay item can be defined with a different tax explanation code.

Tax Rate/Area Enter a code that identifies a tax or geographic area that has common tax rates and tax authorities. The system validates the code you enter against the Tax Areas table (F4008). The system uses the tax rate area in conjunction with the tax explanation code and tax rules to calculate tax and general ledger distribution amounts when you create an invoice or voucher.

Unit Cost Enter the price charged for the unit of measure in the adjoining field. Use these fields, for example, if the primary unit of measure is EA (each), but you typically use a list price per box.

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C

HAPTER

1 Getting Started with JD Edwards EnterpriseOne

Procurement Management

This chapter discusses:

• JD Edwards EnterpriseOne Procurement Management overview. • JD Edwards EnterpriseOne Procurement Management integrations. • JD Edwards EnterpriseOne Procurement Management implementation.

JD Edwards EnterpriseOne Procurement

Management Overview

Procurement is the process of obtaining products and services from suppliers. It includes decisions about how much and when to purchase goods and services, the actual purchasing of goods and services, and the process of receiving the requested goods or services. The purchasing cycle ensures that the appropriate quantity and quality of equipment, material, supplies, or services are acquired at the best price and from the most appropriate source. Procurement involves and affects more departments than just the purchasing department. An integrated procurement system provides the purchasing professional with links to information across all of an organization’s functions and departments. Some of the links include activities and information, including receiving transactions, order revision data, supplier profiles, accounts payable status, special order processing, and the tracking of incoming purchases through receipt routing.

JD Edwards EnterpriseOne Procurement Management

Integrations

The JD Edwards EnterpriseOne Procurement system from Oracle works with other JD Edwards EnterpriseOne systems to ensure that all information is fully integrated. We discuss integration considerations in the

implementation chapters in this implementation guide. Supplemental information about third-party application integrations is located on the Oracle | PeopleSoft Customer Connection website.

JD Edwards EnterpriseOne General Ledger and JD Edwards EnterpriseOne Accounts Payable

The JD Edwards EnterpriseOne Procurement system integrates with the JD Edwards EnterpriseOne General Ledger system from Oracle and the JD Edwards EnterpriseOne Accounts Payable system from Oracle. With

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Getting Started with JD Edwards EnterpriseOne Procurement Management Chapter 1

The JD Edwards EnterpriseOne Procurement system retrieves supplier payment information, tax information, and so forth from the JD Edwards EnterpriseOne Accounts Payable system.

JD Edwards EnterpriseOne Address Book

The JD Edwards EnterpriseOne Procurement system coordinates with the JD Edwards EnterpriseOne Address Book system from Oracle to retrieve:

• Supplier address information. • Ship-to address information. • Warehouse address information. • User identification information.

JD Edwards EnterpriseOne Manufacturing and Supply Chain Management

The JD Edwards EnterpriseOne Procurement system can interact with several JD Edwards EnterpriseOne manufacturing systems from Oracle to help process parts availability, work orders, forecasting and planning, product costing, and so forth.

Logistics

The company might integrate the JD Edwards EnterpriseOne Procurement system with the JD Edwards EnterpriseOne Inventory Management system. This integration involves the validation and exchange of information that pertains to inventory items. The JD Edwards EnterpriseOne Procurement system integrates with other JD Edwards EnterpriseOne logistics systems from Oracle:

• JD Edwards EnterpriseOne Warehouse Management. • JD Edwards EnterpriseOne Sales Order Management. • JD Edwards EnterpriseOne Requisition Self Service.

Requisitions and purchase orders can be sent from Oracle’s JD Edwards EnterpriseOne Requisition Self Service to JD Edwards EnterpriseOne Procurement.

• JD Edwards EnterpriseOne Forecasting.

• JD Edwards EnterpriseOne Requirements Planning. • JD Edwards EnterpriseOne Advanced Pricing.

JD Edwards EnterpriseOne Job Costing

The JD Edwards EnterpriseOne Procurement system can also interact with the JD Edwards EnterpriseOne Job Costing system from Oracle to view subcontract commitments. Using job status inquiry, you can view the job and project commitment details on an account-by-account basis.

JD Edwards EnterpriseOne Electronic Data Interchange

Electronic data interchange (EDI) is the computer-to-computer exchange of business transactions, such as purchase orders, invoices, and shipping notices, in a standard format.

The JD Edwards EnterpriseOne EDI system from Oracle consists of system 47, which is the application interface containing interface files, tables, and programs. System 47 works with third-party translation software that translates EDI standard data into a flat file format so that the JD Edwards EnterpriseOne application software can manage the data. When you receive documents, the third-party translation software: • Retrieves the data via network communications.

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Chapter 1 Getting Started with JD Edwards EnterpriseOne Procurement Management

• Translates the data from EDI standard format to JD Edwards EnterpriseOne application table format. • Moves the translated data into the JD Edwards EnterpriseOne EDI flat files.

The inbound conversion program moves the translated data into the JD Edwards EnterpriseOne EDI interface tables. The JD Edwards EnterpriseOne EDI system then moves the data into the appropriate application tables. When you send documents, the system performs the procedures in reverse order.

This table lists the EDI documents currently supported for the JD Edwards EnterpriseOne Procurement system. This table includes corresponding codes for ANSI and EDIFACT, which are EDI standard cross-industry terms:

TRANSACTION ANSI EDIFACT Inbound To Outbound From

Purchase Order 850 ORDERS Sales Procurement

Purchase Order Acknowledgement

855 ORDRSP Procurement Sales

Invoice 810 INVOIC Accounts Payable,

Procurement

Sales

Receiving Advice 861 RECADV Procurement, Sales Procurement

Purchase Order

Change 860 ORDCHG Sales

Procurement

Purchase Order Response Message

865 ORDRSP Procurement Sales

JD Edwards EnterpriseOne Procurement Management

Implementation

This section provides an overview of the steps that are required to implement the JD Edwards EnterpriseOne Procurement system.

In the planning phase of the implementation, take advantage of all JD Edwards EnterpriseOne sources of information, including the installation guides and troubleshooting information. A complete list of these resources appears in the preface in About This Documentation with information about where to find the most current version of each.

When determining which electronic software updates (ESUs) to install for JD Edwards EnterpriseOne

Procurement, use the EnterpriseOne and World Change Assistant. EnterpriseOne and World Change Assistant, a Java-based tool, reduces the time required to search and download ESUs by 75 percent or more and enables you to install multiple ESUs at one time.

See JD Edwards EnterpriseOne Tools 8.96 Software Update Guide

For information about the Rapid Start solution for implementation of JD Edwards EnterpriseOne Procurement, review the documentation available.

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Getting Started with JD Edwards EnterpriseOne Procurement Management Chapter 1

See Also

About This Documentation, “About This Documentation Preface”“About This Documentation Preface,”

page xix

Global Implementation Steps

This table lists the suggested global implementation steps for the JD Edwards EnterpriseOne Procurement system:

Step Reference

1. Set up global user-defined codes (UDCs). JD Edwards EnterpriseOne Tools 8.96 Foundation Guide

2. Set up companies, fiscal date patterns, and business

units. JD Edwards EnterpriseOne Financial ManagementSolutions Application Fundamentals 8.12 Implementation Guide, “Setting Up Organizations”

3. Set up next numbers. JD Edwards EnterpriseOne Tools 8.96 Foundation Guide

4. Set up accounts and the chart of accounts. JD Edwards EnterpriseOne Financial Management Solutions Application Fundamentals 8.12 Implementation Guide, “Creating the Chart of Accounts”

5. Set up General Accounting constants. JD Edwards EnterpriseOne General Accounting 8.12 Implementation Guide, “Setting Up the General Accounting

System,” Setting Up Constants for General Accounting 6. Set up multicurrency processing, including currency

codes and exchange rates. • JD Edwards EnterpriseOne Multicurrency Processing8.12 Implementation Guide, “Setting Up General

Accounting for Multicurrency Processing”

• JD Edwards EnterpriseOne Multicurrency Processing 8.12 Implementation Guide, “Setting Up Exchange

Rates”

7. Set up ledger type rules. JD Edwards EnterpriseOne General Accounting 8.12 Implementation Guide, “Setting Up the General Accounting

System,” Setting Up Ledger Type Rules for General Accounting

8. Enter address book records. JD Edwards EnterpriseOne Address Book 8.12

Implementation Guide, “Entering Address Book Records”

9. Set up inventory information, such as branch/plant constants, default locations and printers, manufacturing and distribution AAIs, and document types.

JD Edwards EnterpriseOne Inventory Management 8.12 Implementation Guide, “Setting Up the Inventory

Management System”

10. Set up shop floor calendars. JD Edwards EnterpriseOne Shop Floor Management 8.12 Implementation Guide, “Setting Up Shop Floor

Management”

11. Set up manufacturing constants. JD Edwards EnterpriseOne Product Data Management 8.12 Implementation Guide, “Setting Up Product Data

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Chapter 1 Getting Started with JD Edwards EnterpriseOne Procurement Management

Procurement Implementation Steps

This table lists the suggested application-specific implementation steps for the JD Edwards EnterpriseOne Procurement system:

Step Reference

1. Define order line types. Chapter 7, “Setting Up the Procurement System,” Defining Order Line Types, page 30

2. Set up order activity rules. Chapter 7, “Setting Up the Procurement System,” Setting Up Order Activity Rules, page 34

3. Set up procurement constants. Chapter 7, “Setting Up the Procurement System,” Setting Up Procurement Constants, page 35

4. Define procurement next numbers. Chapter 7, “Setting Up the Procurement System,” Understanding the Setup of Procurement Next Numbers, page 29

5. Set up user-defined codes. Chapter 7, “Setting Up the Procurement System,” Setting Up Distribution AAIs, page 49

6. Set up AAIs. Chapter 7, “Setting Up the Procurement System,” Setting Up UDCs, page 42

7. Create tolerance rules. Chapter 7, “Setting Up the Procurement System,” Creating a Tolerance Rule, page 51

8. Set up order hold information. Chapter 7, “Setting Up the Procurement System,” Entering Order Hold Information, page 52

9. Set up landed costs. Chapter 7, “Setting Up the Procurement System,” Setting Up Landed Costs, page 54

10. Set up nonstock items. Chapter 7, “Setting Up the Procurement System,” Setting Up Nonstock Items, page 57

11. Define print messages. Chapter 7, “Setting Up the Procurement System,” Defining Print Messages, page 59

12. Set up templates for purchase orders. Chapter 7, “Setting Up the Procurement System,” Understanding Purchase Order Templates, page 61 13. Create model logs. Chapter 7, “Setting Up the Procurement System,” Creating

a Model Log, page 65

14. Set up hierarchical logs. Chapter 7, “Setting Up the Procurement System,” Setting Up Hierarchical Logs, page 67

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JD Edwards EnterpriseOne Procurement Management 8.12 Implementation Guide

JD Edwards EnterpriseOne

Procurement Management 8.12

Implementation Guide

Contents

About This Documentation Preface

JD Edwards EnterpriseOne Application Prerequisites

Application Fundamentals

Documentation Updates and Printed Documentation

Obtaining Documentation Updates

Ordering Printed Documentation

Additional Resources

Typographical Conventions and Visual Cues

Typographical Conventions

Visual Cues

Country, Region, and Industry Identifiers

Currency Codes

Comments and Suggestions

Common Fields Used in Implementation Guides

JD Edwards EnterpriseOne Procurement

Management Preface

JD Edwards EnterpriseOne Products

JD Edwards EnterpriseOne Application Fundamentals

Common Fields Used in This Implementation Guide

C

HAPTER

1

Getting Started with JD Edwards EnterpriseOne

Procurement Management

JD Edwards EnterpriseOne Procurement

Management Overview

JD Edwards EnterpriseOne Procurement Management

Integrations

JD Edwards EnterpriseOne Procurement Management

Implementation

Global Implementation Steps

Procurement Implementation Steps