Landed Cost Managment

PRE-RECEIVING SCENARIO
R12.1.1 By Jian Wu

log on CHORTON/WELCOME 1. Assign LCM Responsibility to the User System Administrator Responsibility /Security/User/Define Query out User = CHORTON Add new responsibility = Landed Cost Management

2. Enable LCM organization Purchasing Responsibility /Setup/Organizations/Organizations Query out Organization = LC2-Seattle Mfg (LC2) click /Inventory Oranization/Others choose Inventory Information LCM enabled flag = checked LCM Variance account = 01-530-5210-0000-000

3. Define LCM Option Landed Cost Management Responsibility /Setup/Option choose LC2-Seattle Mfg click Go Numbering: Shipment Number Generation = Automatic Shipemnt Nubmer Type = Numberic Next Shipment Number = 1 Tolerance Control: PO Price Tolerance (%) = 50

4. Define LCM Shipment Line Type Landed Cost Management Responsibility /Setup/Shipment Line Type click Create Code = JANE_SHIP_TYPE Name = Jane Shipment Line Type Included in the Land Cost is checked Associable Line is not checked click Apply

5. Define LCM Shipment Type Landed Cost Management Responsibility /Setup/Shipment Type Code = J_SHIP_TYPE Name = Jane Shipment Type third Parties Allowed = Both Shipment Line Type = JANE_SHIP_TYPE Party Types Allowed = Organization Party Usages Allowed = Supplier Source Types Allowed=Purchase Order click Apply

6. Setting Profile Options System Administrator Responsibility Profile Setting. The following profiles should be set at site level: INL: Default Shipment Type for Open Interface = Jane Shipment Type INL: Volume UOM Class INL: Quantity UOM Class INL: Weight UOM Class The following profiles should be set at application = Oracle Landed Cost Management: QP: Blind Discount Option = Yes QP: Licensed for Product = Purchasing QP: Pricing Perspective Request Type = Purchase Order QP: Pricing Transaction Entity = Procurement QP: Source System Code = Oracle Purchasing relog on apps.

7. Enable Pre-Receiving Purchasing, Vision Operations (USA) /Setup/Organization/Receiving Option under LCM Accounts: Pre-Receiving in LCM = Checked Define all the accounts

8. Enable Cost Factors Purchasing, Vision Operations (USA) /Setup/Purchasing/Cost Factors Make sure FREIGHT, DUTY, INSURANCE are active.

9. Define Price Modifier Purchasing, Vision Operations (USA) /Advanced Pricing/Modifiers/Modifier Setup Main Tab: Type = Freight and Special charge List Number = 3000 Active checked Number = 3000 Active checked Automatic checked Globaal checked Name = 3000 Modifiers Summary Tab: Modifier No = 257857 (defaulted in) Level = Line Modifier Type = Freight/Special Charge Start Date = 05-MAY-2010 End Date = 05-MAY-2011 Print On Invoice checked Automatice checked Override checked Price Phase = PO: Line Charges Product Attribute = Item Number Product Attribute Value = AS54888 Discounts/Charges Tab: Charge Name = FREIGHT Application Method = Amount Value = 10 Modifiers Summary Tab: Modifier No = 257858 (defaulted in) Level = Order Modifier Type = Freight/Special Charge Start Date = 05-MAY-2010 End Date = 05-MAY-2011 Print On Invoice checked Automatice checked Override checked Price Phase = PO: Charges: Header/All Lines Discounts/Charges Tab: Charge Name = INSURANCE or DUTY Application Method = Lumpsum Value = 200 Save it

10. Create Purchase Order Purchasing, Vision Operations (USA) /Purchase Orders/Purchase Orders Create PO with LCM enabled Organization supplier = 3M Health Care supplier site = CORP HQ Ship-To Org = LC2 line# 1: Item = "AS54888 -> make sure Inventory Asset flag = Y in this org quantity = 300 price = 1 shipment# 1: quantity = 100 Need By/Start Date = sysdate Receipt Routing = Standard Receipt Match Approval Level = 2-Way Invoice Match Option = Receipt -> it is mandatory for LCM actuals management destination type = Inventory shipment# 2: quantity = 200 Need By/Start Date = sysdate + 1 Receipt Routing = Standard Receipt Match Approval Level = 2-Way Invoice Match Option = Receipt -> it is mandatory for LCM actuals management destination type = Inventory line# 2: Item = " AS10000 -> make sure Inventory Asset flag = Y in this org quantity = 300 price = 100 shipment# 1: quantity = 100 Need By/Start Date = sysdate Receipt Routing = Standard Receipt Match Approval Level = 2-Way Invoice Match Option = Receipt -> it is mandatory for LCM actuals management destination type = Inventory shipment# 2: quantity = 200 Need By/Start Date = sysdate + 1 Receipt Routing = Standard Receipt Match Approval Level = 2-Way Invoice Match Option = Receipt -> it is mandatory for LCM actuals management destination type = Inventory

po# 5967 is saved and approved

11. copy po# 5967 to another po# 5968 Supplier = Allied Manufacturing Supplier site = LOS ANGELES Others are the same.

12. Landed Cost Management Responsibility Workbench/Shipments Create a new shipment Choose LC2-Seattle Mfg, click Create Header: Operating Unit = Vision Operations Receiving Location = LC2 Seattle Mfg Shipment Date = 03-Feb-2009 Shipment Type = J_SHIP_TYPE Status = Incomplete Line Groups: Group = 1 Group Reference = J-SHIP Source Type = Purchase Order Third Party = Allied Manufacturing Third Party Site = LOS ANGELES Group = 2 Group Reference = J-SHIP Source Type = Purchase Order Third Party = 3M Health Care Third Party Site = CORP HQ

Click Header Click Line Group 1 Click Lines Find Expected Shipment Lines Third Party Site = LOS ANGELES Purchase Order = 5968 Click Go

Select all the Lines. Click Save. Click Header Click Line Group 2 Click Lines Find Expected Shipment Lines Third Party Site = COPR HQ Purchase Order = 5967 Click Go

Select all the Lines. Click Save. Click Header Choose Actions = Generate Charges Click Go Gets:
Confirmation The Generate Charges action has been executed successfully.

Choose Actions = Manage Charges Click Go

Choose Actions = Validate Click Go Gets:

Choose Actions = Calculate Click Go Gets:

Choose Actions = View Landed Cost Click Go

Click Return to Shipment Link Choose Actions = Submit Click Go The Shipment# 7 status = Completed Web Service is called to move data from LCM to RCV (RTI records). Receiving Transaction Processor (RTP) is called to process RTI records.

13. Receive LCM Shipment Purchasing Responsibility /Receiving/Receipts Choose Organization LC2 Source Type = LCM Click LOV of Shipment

Choose Shipment# = 7.1 Click on Find button Receipt Header form window will appear. Leave it as it is so that a new receipt is created. Close the Receipt Header form window Four shipment lines showing on the screen. Check all the four lines. Save .

receipt# 2 is created

14. Receive LCM Shipment Purchasing Responsibility /Receiving/Receipts Choose Organization LC2 Source Type = LCM Click LOV of Shipment Choose shipment# 7.2 Check all the four lines Save

Receipt# 3 is created

15. Create Deliver Transaction Purchasing, Vision Operations (USA) /Receiving/Receiving Transactions Query out receipt# 2 For each line Click Help/Dianostics/Examine Block = RCV_TRANSACTION Field = UNIT_LANDED_COST Value = 1.00495049504950495049504950495049504951

Click Help/Dianostics/Examine Block = RCV_TRANSACTION Field = LCM_SHIPMENT_LINE Value = 76

Unit Landed Cost of Corresponding shipment line and corresponding shipment line would be stamped on the Receving transactions records.

Materials: 1) LCM setup https://kix.oraclecorp.com/KIX/display.php?labelId=3284&articleId=160366 2) https://kix.oraclecorp.com/KIX/display.php?labelId=1923&articleId=76528