Fundamentals of Multi-Org
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Objectives
After completing this lesson, you should be able to do the
following:
• Define Multiple Organization (Multi-Org)
• Discuss the types of organizations supported in the MultiOrg model
• Explain the entities of Multi-Org
• Explain how Multi-Org secures data
• Identify key implementation considerations
• Define Multi-Org Access Control (MOAC)
• Explain Multi-Org preferences
• Explain Enhanced Multiple-Organization Reporting
7-2
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What Is Multi-Org?
•
•
7-3
A server-side (applications and database) enhancement
that enables single installation of Oracle Applications
Keeps transaction data and some setup data separate and
secure by different lines of business
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Basic Business Needs
The Multi-Org enhancement provides features that enable you
to:
• Support multiple business units even if they use different
ledgers
• Secure access to data on a single instance by line of
business
• Define different organizational models
• Sell and ship from different legal entities
• Procure and receive from different legal entities
• Produce reports across entities or within a single entity
7-4
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Organization Types Supported in
the Multi-Org Model
7-5
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Types of Organizations Supported
in the Multi-Org Model
Business Group
Balancing
Entity/Funds
HR
Bal Seg 1
Ledger
GL, FA
Bal Seg 2
Flexfield
Security Rule
GRE/Legal entity
Operating Unit
Inventory
Organization
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AP, PO,
AR, OM, and
so on
INV, MFG
Ship
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Business Group
Business Group
HR
A Business Group can be set up to
model a consolidated enterprise, a
major division, or an operating
company—without any accounting
impact.
You must have at least one Business
Group.
7-7
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LedgerA Ledger is a financial reporting entity
Business Group
HR
Accounting Setup Manager
GL
The Ledger concept is similar in a
Multi-Org environment. General Ledger
secures transaction information
(journal entries, balances) by Ledger.
When you use General Ledger, you
select a responsibility that specifies a
particular Ledger with information
relevant to only that Ledger.
Ledger
Ledger
US GAAP
US COA
US Calendar
EURO $
$- Reporting Currency
7-8
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Legal Entity
Business Group
HR
Ledger
GL
GRE/Legal entity
A Legal entity identified through the registration
with Legal Authority represents a legal
company for which you prepare fiscal or tax
reports
7-9
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Operating Unit
Business Group
HR
Ledger
GL
Legal entity
Operating Unit
7 - 10
AP, PO,
AR, OM, and
so on
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Balancing Entity
Business Group
HR
GL, FA
Ledger
Balancing
Entity/Funds
Bal Seg 1
Bal Seg 2
GRE/Legal entity
Operating Unit
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Flexfield
Security Rule
AP, PO,
AR, OM, and
so on
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Balancing Entity: Examples
2
LE1
1
10
LE1
10
C1
20
C2
3
Div 1
10
Balancing
segment
values
7 - 12
LE1
Div 2
LOB 1
LOB 2
20
30
10
20
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30
Inventory Organization
Business Group
HR
GL, FA
Ledger
Balancing
Entity/Funds
Bal Seg 1
Bal Seg 2
Flexfield
Security Rule
GRE/Legal entity
Operating Unit
Inventory
Organization
7 - 13
AP, PO,
AR, OM, and
so on
INV, MFG
Ship
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Sample Organization Structure
Ledger
LE
LE
OU
OU
OU
MIO
IO
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IO
IO
IO
IO
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IO
Define the Organization Structure
Corporate
US
Canada
Japan
US
Canada
Japan
Chicago
West
Inventory
Warehouse
Calgary
Manufacturing
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Tokara
Islands
East
Montreal
Inventory
Quebec
Manufacturing
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Adding to the Organization Structure
7 - 16
Original
Add New
Wid Co.
Ledger
Wid Co.
Ledger
US 1
(LE)
US 1
(LE)
US 2
(LE)
West Ops
(OU)
West Ops
(OU)
East Ops
(OU)
Plant 1
(IO)
Plant 1
(IO)
Plant 2
(IO)
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How Multi-Org Secures Data
7 - 17
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Security Model
The responsibility is key to multi-org security and reporting. It
determines:
• Operating unit
• Reporting ability
Select
Users
7 - 18
Tied to an
Responsibilities
Operating
Unit
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Data Security by Application
7 - 19
Application
Partitioned By
GL
Ledger
FA
Asset Book
HR
Business Group
OM, AR, AP, PO, CE, PA,
AS, SC, ASO, ASN, AST
Operating Unit
INV, MFG
Inventory Organization
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Global Registries
Operations
US
New York
Supplier ABC
Corporation
Address 1:
New York, NY
Address 1:
Austin, TX
Address 2:
Orlando, FL
Address 2:
New York, NY
Address 3:
Green Bay, WI
Note the separation of supplier sites by OU.
7 - 20
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Distribution
SNG
Singapore
Organization Naming Considerations
Ledgers
Ledger_
COB_
ROB_
Inventory
Organization
Organization
IO_
GM_
VO_
BG_
HR_
LE_
OU_
7 - 21
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Define Multi-Org Access Control (MOAC)
User access to multiple operating units is called Multi-Org
Access Control. The primary topics of discussion for MOAC
are:
• Features that support various functionalities
• Benefits
• Setup and process
• Dependencies and interactions
7 - 22
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Features of MOAC
•
•
Access one or more operating units using single
responsibility.
Enhanced reporting capability using:
– Reporting-level parameter
– Reporting context
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Benefits of MOAC
Using MOAC, a user can perform tasks for multiple operating
units (OU) without changing their responsibilities.
Tasks users can perform using
MOAC in multiple OUs:
• Enter Payables Invoices.
• View Consolidated
Requisitions.
• Perform Collections.
• Process Receiving and
Drop Shipments.
• Perform Customer Data
Management.
• Perform Accounting
Setup.
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Mexico
Operating Unit
Canada
Operating Unit
Responsibility
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US
Operating Unit
MOAC: Setup and Process
SETUP
PROCESS
Define
Operating Units.
Login and select
a responsibility.
Create
security profile.
Launch a Form.
Run Security List
Maintenance.
Application
checks user’s
access privilege.
Set profile options.
Process data for
Operating Units.
Automated process
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Accounting Setup Manager (ASM)
Define
Legal Entities
Dashboard.
Assign/view
Legal
Entities.
Define
Ledger.
Define OU.
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MOAC Setup: Create an Operating Unit
Financials Accounting
Setup Manager
(Or)
HRMS Organization
Form
7 - 27
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Dependencies and Interactions of MOAC
•
Oracle HRMS:
– Define operating units.
– Set up Multi-Org Security Profiles.
•
Accounting Setup Manager:
– Define operating units.
– View all operating units assigned to the primary ledger.
•
Oracle E-Business Suite products that use Operating
Units:
– Process data across multiple operating units using MOAC.
7 - 28
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Dependencies and Interactions of MOAC
Product name
Leveraging Multi-Org Access Control feature
Payables
Reduce processing time with the ability to enter invoices for
multiple operating units without switching responsibilities.
Reduce processing cost with the ability to pay invoices for
multiple operating units in a single pay run.
Receivables
Provide global information for decision making purposes with
new cross-organization reports.
Purchasing
Provide the ability to negotiate discounts armed with
consolidated requisition demands.
Collections
Is a global collections agency with consolidated view of customer
accounts and collection tasks for multiple operating units
Accounting Setup Create ledgers and operating units through the Accounting Setup
Manager
Manager.
7 - 29
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Multi-Org Preferences: Description
User Level Preferences:
• Specify User Level Preferences.
• Identify a subset of operating units to access.
• Set default Operating Unit specific to that user.
7 - 30
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Enhanced Multi-Org Reporting:
Setup and Process
SETUP
•
•
•
PROCESS
Set up Multi-Org
Access Control.
Select a
responsibility.
Run reports for
multiple operating
units from a single
responsibility.
Reduce reporting
time.
Improve efficiency.
Open Requests
Program.
Program
checks
access privilege.
Select Operating Unit
and Run Report.
Automated process
7 - 31
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Quiz
Users can change the responsibility to access different
operating units by using MOAC.
a. True
b. False
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Quiz
An inventory organization represents an organization, for which
you track inventory transactions and balances, and
manufacture or distribute products.
a. True
b. False
7 - 33
Copyright © 2010, Oracle and/or its affiliates. All rights reserved.
Quiz
Multi-Org is a server-side (applications and database)
enhancement that enables single installation of Oracle
Applications.
a. True
b. False
7 - 34
Copyright © 2010, Oracle and/or its affiliates. All rights reserved.
Quiz
Which of the following profile options links an Operating Unit to
a Responsibility?
a. MO: Operating Unit
b. MO: Security Profile
c. MO: Set Client_Info for Debugging
d. MO: Default Operating Unit
7 - 35
Copyright © 2010, Oracle and/or its affiliates. All rights reserved.
Summary
In this lesson, you should have learned how to:
• Define Multi-Org
• Explain the Multi-Org entities
• Explain how data is secured
• Identify key implementation considerations
• Define Multi-Org Access Control
• Explain Multi-Org preferences
• Explain Enhanced Multiple-Organization Reporting
7 - 36
Copyright © 2010, Oracle and/or its affiliates. All rights reserved.