There are two main concepts ,one must know before we go deep dive into Oracle apps modules.
i.e 1. Multi org
2. Flex fields
In this blog, Multi Org definition is explained with in depth detail.
Multi Org : Oracle apps modules (Financials,SCM,HRMS and Projects) are conceptualized based on Multi org concept. IN Multi org we have the following Organization definition
1. Business Group
2. Legal Entity and Ledger
3. Operating Unit
4. Inventory Org
Business Group: The top most Organization in Multi Org and it holds all employees of HR module.If Oracle apps implemented in different countries then we have to design different business group for each country provided HR is to be part of Oracle apps Implementation.
Legal entity : A Company is a registered entity in the country in which it is operating,then that company is to be defined as Legal entity in Oracle application. Legal entity /Company will be the organization where Profit/loss is computed and final tax will be paid to the Tax registration authority in the specific country.General ledger module in Oracle apps is based on Legal entity.
Operating unit : Operating unit is like back end office in which activities like Purchasing materials Marketing, Payable,Receivable are all taking place. Modules like Purchasing,Account Payable, Account receivables are based on Operating unit Organizations.
Inventory Organization : Organization that act as a warehouse or a place of storing materials then it is termed as Inventory Organization Material issue or receipt will take place at the Inventory organization level.and Inventory valuation also be done at the Inventory org. Inventory and other manufacturing modules are based on Inventory Organization.
Sub Inventory : Within Inventory Organization,there is going to be multiple storing space which is termed as sub inventory.Material can be moved from one sub inventory to other which is considered as mere physical movement and it won't have any financial implications.
i.e 1. Multi org
2. Flex fields
In this blog, Multi Org definition is explained with in depth detail.
Multi Org : Oracle apps modules (Financials,SCM,HRMS and Projects) are conceptualized based on Multi org concept. IN Multi org we have the following Organization definition
1. Business Group
2. Legal Entity and Ledger
3. Operating Unit
4. Inventory Org
Business Group: The top most Organization in Multi Org and it holds all employees of HR module.If Oracle apps implemented in different countries then we have to design different business group for each country provided HR is to be part of Oracle apps Implementation.
Legal entity : A Company is a registered entity in the country in which it is operating,then that company is to be defined as Legal entity in Oracle application. Legal entity /Company will be the organization where Profit/loss is computed and final tax will be paid to the Tax registration authority in the specific country.General ledger module in Oracle apps is based on Legal entity.
Operating unit : Operating unit is like back end office in which activities like Purchasing materials Marketing, Payable,Receivable are all taking place. Modules like Purchasing,Account Payable, Account receivables are based on Operating unit Organizations.
Inventory Organization : Organization that act as a warehouse or a place of storing materials then it is termed as Inventory Organization Material issue or receipt will take place at the Inventory organization level.and Inventory valuation also be done at the Inventory org. Inventory and other manufacturing modules are based on Inventory Organization.
Sub Inventory : Within Inventory Organization,there is going to be multiple storing space which is termed as sub inventory.Material can be moved from one sub inventory to other which is considered as mere physical movement and it won't have any financial implications.
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