ORACLE R12 –Cash Management
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New Features - Oracle Cash
Management
 Bank Account Model
 Bank Account Balances and Interest Calculations
 Bank Account Transfers
 Subledger Accounting
 Bank Statement Reconciliation
 Multi-org Access Control and Security
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Bank Account Model
 Setup , maintenance, and control of all internal bank
account information is much easier
 a single access point for defining and managing internal
bank accounts for Oracle Payables, Oracle Receivables,
Oracle Payroll,Oracle Cash Management, and Oracle
Treasury.
 Bank account access for each application is explicit for
internal security and control purposes.
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Bank Account Model
 Each account is associated with a Bank and Bank Branch
defined in Oracle’s common Trading Community
Architecture (TCA).
 A single Legal Entity is granted ownership of each
internal bank account.
 One or more Organizations are granted usage rights,
which provides significant benefits in key areas like
reconciliation.
 Reconciliation options can now be defined at the bank
account level, providing even more flexibility and control
of that process.
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Bank Account Balances & Interest
Calculations
 Many new bank account balance types are supported for
all internal bank accounts including ledger, available,
value dated, 1-day float, 2-day float, and projected
balances.
 Users are able to track closing ledger and available
balances as well as month-to-date and year-to-date
averages.
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Bank Account Transfers
 Bank Account Transfer functionality was previously
supported only through Oracle Treasury. Now, directly in
Oracle Cash Management.
 This feature allows users to create these types of cash
transfers between internal bank accounts manually or
automatically through physical cash pools.
 Payment processing and accounting is managed via
Oracle Payments and Oracle Subledger Accounting
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Subledger Accounting
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Bank Statement Reconciliation
 Bank Transaction Codes can be linked to multiple
sources.
 Previously each bank transaction code had to be linked
to a single source, such as AP. This could create an issue
if the bank was using the same transaction code to
report back a payment that was initiated from an
application other than AP.
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Multi-org Access Control & Security
 Multi-Org Access Control enables companies that have
implemented a Shared Services operating model to
efficiently process business transactions by allowing
them to access, process, and report on data for an
unlimited number of operating units within a single
applications responsibility.
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TCA in R12
 New trading entities
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•
Banks & Bank Branches
•
Suppliers
•
Legal Entity
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TCA in R12: Bank Account
Model
Trading Community
Architecture (TCA)
Cash Management
Payables
Bank
Receivables
Bank Branch
Bank Account
Payroll
Treasury
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TCA in R12: Bank Account Model
Pay invoices from different OUs with 1 instruction
• New Payments Module
• New Bank Module
OU A
• New Bank & Credit Card Features
OU B
Payments
OU C
Single
Payment
Instruction
Invoices
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Bank
Sub Ledger
Accounting
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TCA in R12: Bank Account
Model Benefits
 Reduce number of access points to manage bank accounts
•
Centralized user interface
 Improve visibility and control of bank accounts
•
Multi-org access control
 Simplify bank reconciliation
•
Single bank statement can be reconciled across multiple
Operating Units
 Increase percentage of automatically reconciled transactions
•
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Bank account level reconciliation parameters add flexibility
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Internal Bank Accounts
In 11i :
Internal Banks defined in AP and that is shared by AP/AR/CE, Payroll and
Treasury and they are bank accounts often replicated in multiple OU’s
In R12:
Bank and Branch become part of TCA Parties.
Internal Bank Account in Cash Management which is owned by a Legal Entity.
Here the Operating units have granted usage rights.
Note:
Banks and Bank Branches: ce_bank_branches_v or cebv_bank_branches
These banks and bank branches are shared across internal and external bank accounts
Internal bank accounts: ce_bank_accounts
Internal Bank accounts uses: ce_bank_account_uses_all
AP/AR/Payroll banks are specified by, ap_use_enable_flag, ar_use_enable_flag and
pay_use_enable_flag.
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Bank, Branch and Bank account attributes in AP_BANK_BRANCHES and
AP_BANK_ACCOUNTS_ALL tables are upgraded to to HZ_PARTIES and
the new tables in Cash Management.
Three key CE tables now as:
1. CE_BANK_ACCOUNTS for bank accounts
2. CE_BANK_ACCT_USES_ALL for account uses by OU& LE
3. CE_GL_ACCOUNTS_CCID for bank account use accounting data
1. CE_BANK_ACCOUNT stores bank account attributes
2. CE_BANK_ACCT_USES_ALL table stores the bank account use
attributes specific to Operating Unit (AR, AP) and Legal Entity
(Treasury)
3. CE_GL_ACCOUNTS_CCID stores accounting data pertaining to the
bank account use
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The TCA tables used by Cash Management for modeling Banks and Bank
Branches are listed below:
1.
2.
3.
4.
5.
6.
7.
8.
9.
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HZ_PARTIES
HZ_RELATIONSHIPS
HZ_RELATIONSHIP_TYPES
HZ_ORG_CONTACTS
HZ_ORG_CONTACT_ROLES
HZ_CONTACT_POINTS
HZ_PARTY_SITES
HZ_LOCATIONS
HZ_ORGANIZATION_PROFILES
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HZ_ORGANIZATION_PROFILES - stores additional attributes of banks and bank
branches along with the history of changes made to Banks and Bank Branches.
HZ_PARTIES - stores the contact person at the bank, bank branch and bank
account
HZ_CONTACT_POINTS - stores contact methods, details
HZ_ORG_CONTACTS - stores the contact’s title
HZ_ORG_CONTACT_ROLES - stores the contact’s purpose or role). T
HZ_LOCATIONS - Stores address details of Banks and Bank Branches
HZ_PARTY_SITES - stores party sites
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Impact of Upgrade
1. With Upgrade banks and branches migrated to TCA parties
2. Banks merged if the following attributes are all the same:
a. Bank Number
b. Institution type
c. Country
d. Bank admin email
e. Bank name alt
f. Tax payer ID
g. Tax reference number
h. Description, Effective dates
3. Bank accounts, bank account uses are migrated into cash management.
4. Transactions are stamped with the bank account uses identifiers as part of the
upgrade
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Suppliers Bank Accounts
In 11i:
Banks/Branches defined in AP
Bank accounts often replicated in multiple OUs Before
R12 :
Suppliers, Banks and Branches are defined as Parties in TCA
Supplier (party's) payment information and all payment instruments (Bank
Accounts, Credit Cards) moved into Oracle Payments.
Note:
Banks and Bank Branches: ce_bank_branches_v (it's a view)
These banks and bank branches are shared across internal and external bank account
External bank accounts: iby_ext_bank_accounts
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