iProcurement Setup Document and it's basic flows in R12.2

iProcurement Setup Document

Mandatory Setups for iProcurement:

1. Profile Options
2. Shopping Category Creation
3. Category Hierarchy
1. Top Category (Browsing Category) - Create Top-Level Category
1. Child Category (Browsing Category) - Create Child
1. Shopping Category (Item Category) - Insert Existing Child
4. Purchasing Category Creation
5. Category Mapping
6. Item Creation and Purchasing Category Assignment
7. Content Zone Creation
8. Information Template Creation
9. Smart Form Creation
10. Create Stores
11. Blanket Purchase Agreement Creation
12. Personalization's (Profile Option - "Personalize Self-Service Defn = Yes")

1. Profile Options:

POR: Autocreate Shopping Category and Mapping = Yes

POR:Allow Manual Selection of Source = Yes

The rest of the profile options will leave it with defaulted values.

2. Shopping Category Creation:

We will build one case. Based on that we will define the categories and  then will do the Category Mappings.

Case:

It's a Top Down approach.

First we will have a Top level category (Root Category) called "Browsing Category". Under that, either we may have multiple child Browsing Categories or Shopping Categories.

First we should create the bottom level category called "Shopping Category"

Responsibility: iProcurement Catalog Administration

Navigation: iProcurement Administration: Home Page > Schema > Item Categories

Click "Create Category"

Enter the Category Details

Note:

1. Category Key: Once we enter the value and save, we can't modify.

2. Category Name & Category Description: We can change the values even after save by clicking "Update" button.

3. Category Key and Category Name values may be same.

Click "Apply"

Confirmation page will come. 

Search the Category Name and check the newly created Category. 

Now, we have successfully created the Shopping Category (iProcurement Category)

Now, we will see the "Category Hierarchy"

3. Category Hierarchy:

Root Category (Browsing Category) ===== > Outside Items

Child Category (Browsing Category) ===== > Direct Materials

Child Category (Shopping Category) ===== > Marketing Items

Create the Root Category (Browsing Category) first

Navigation: Schema > Category Hierarchy > Create Top-Level Category

Click on "Create Top-Level Category"

Enter the values in respective fields 

Click on "Apply"

Upon Apply, you will get the confirmation page and you can see the newly created category with Type as "Browsing". 

Select that newly created category "Outside items" and click "Create Child" to create another Browsing Category called "Direct Materials".

Click on "Create Child" 

Enter the details 

Click on "Apply"

Now, you can see "Direct Materials" Browsing Category under "Outside Items" category 

Now, you insert the Shopping Category "Marketing Items" into this Hierarchy

Select the Browsing Category "Direct Materials" and click on "Insert Existing Child" 

Click on "Insert Existing Child" 

Query the existing category "Marketing Items" 

Retrieved the existing category.

Select that category 

Click on "Apply"

Now, you can see the entire Category Hierarchy like below.

Outside Items ==== > Direct Materials ==== > Marketing Items

We have successfully created the Category Hierarchy.

4. Purchasing Category Creation:

Now we will create one new item in Inventory module with new Purchasing Category and then will map that Purchasing Category into our Shopping Category in iProcurement.

Lets create a new Purchasing Category called "Marketing Materials" in Inventory Module. To create the new category, we need to add these new values into Value set. To find out that KFF and Value Set, follow the below steps.

Step 1: Find out the "Default Category Set" for Purchasing

Navigation: Inventory > Setup > Items > Categories > Default Category Sets

Note down the category Set Name for the functional area "Purchasing"

Default Category Set for Purchasing = Purchasing

Step 2: Open the Category Set and note down the Flex Structure

Navigation: Inventory > Setup > Items > Categories > Category Sets 

Flex Structure = PO Item Category

Step 3: Find out the KFF Segments

Navigation: Inventory > Flexfields > Key > Segments

Query by

Application: Inventory Title : Item Categories

Once query retrieves the result, find out the Purchasing Flex Structure name "PO Item Category"

Click on "Segments" 

Note down the Value Set Names for both the Segments

Segment1 = Item Category (Value Set = PO Item Category)

Segment2 = Commodity (Value Set = Commodity)

Click on "Value Set" for the SEGMENT1 "Item Category" and check the Validation Type

Note down the Validation Type. It's Independent.

Now, click the another segment "Commodity" and check for Value Set Validation Type.

It's "Dependent"

Step 4: Add the values into Value Set

Navigation: Inventory > Setup > Flexfields > Key > Values

Click Find

Add the new value "Marketing" 

Save 

Note: PO Item Category value set Validation Type is "Independent". So, what ever the values we are adding into this value set, all values will display. But, the "Commodity" value set is "Dependent" value set. So, We need to define the Dependent value from previous value set and then we need to add the new value.

Now, add the another value "Items" in the value set "Commodity"

While adding the new value in the Dependent Value Set, we need to mention the Independent Value of the previous value set. In our case, the previous value set is PO Item Category. So, we need to enter the value from that value set.

Add two new values like "Materials" and "Items"

Now, create the Purchasing category "Marketing Materials" and "Marketing Items" and assign it to Purchasing Category Set

Step 5: Create Purchasing Category Code

Navigation: Inventory > Setup > Items > Categories > Category Code

Click on "New"

Create a new Category Code like "Marketing.Items" 

Save

Step 6: Assign Category into Category Set

Navigation: Inventory > Setup > Items > Categories > Category Sets

Query the default "Purchasing" Category Set and add the Category "Marketing.Items" into that Purchasing Category Set

Save

5. Category Mapping:  

Query the newly created Purchasing Category and map it to Shopping Category.

In our case, the newly created Purchasing Category is "Marketing.Items" and Shopping Category is "Marketing.Items"

Responsibility: iProcurement Catalog Administration

Navigation: Schema > Category Mapping 

Query by either "Purchasing Category" name or "Shopping Category" name 

Select the check box 

Click on "Map" 

Query the Shopping Category "Marketing.Items"

Click "Apply"

Now, it's mapped.

Purchasing Category "Marketing.Items" have been mapped to Shopping Category "Marketing.Items"

6. Item Creation and Purchasing Category Assignment:

Now, create the new item and assign the newly created Purchasing Category "Marketing.Items"

Navigation: Inventory > Items > Master Items

Apply the Purchasing Template

Assign the Purchasing Category

Navigation: Tools > Categories

Change the default category name from "MISC.MISC" to "Marketing.Items"

Assign it to required organizations

7. Content Zone Creation:

Responsibility: iProcurement Catalog Administration

Navigation: Stores > Content Zones

Select the Action "Create Local Content Zone" option from the LOV and click on "Go"

Enter the Content Zone Name and Description. And select the "Suppliers", "Categories" and then assign the "Content Zone Security"

Note for Suppliers:

Include items from all suppliers: Users can create the requisitions for all the items for all the suppliers (It should have Blanket Purchase Agreements)

Include items from specific suppliers: Users can create the requisitions for the items which was assigned to a specific supplier. If we enable this option then we need to enter that specific supplier name (It should have Blanket Purchase Agreements)

Exclude items from specific suppliers: Users can not create the requisitions for the items which was assigned to a specific supplier.

Exclude items that are sourced from suppliers: Users can not create the requisitions for the items which was already sourced from the suppliers (ASL and Sourcing Rule).

Include items without suppliers: Without the Blanket Purchase Agreements, the users can create the requisitions for all the items. As soon as we create the items with purchasing category and if that purchasing category mapped into shopping category then we can raise a requisition.

In the above case, we have created the "Doyen Content Zone" and restricted by specific category "Marketing.Items" and operating Unit "OM_Operating Unit". So, we can raise a requisitions for all the items that belongs to "Marketing.Items" category without the Blanket Purchase Agreements.

Click "Apply"

Get the confirmation page and our newly created content zone "Doyen Content Zone".

8. Information Template Creation:

You can set up information templates to gather additional information in Oracle iProcurement to pass necessary order processing information to suppliers. When an information template is assigned to a category or item, the application prompts requesters to provide the information specified in the template when the item is added to the shopping cart. This information becomes a line-level attachment to the requisition.

For example, you can implement information templates for items such as business cards that require additional information (name, address, e-mail address, phone) from the requester. Oracle iProcurement prompts for name, address, e-mail address, and phone number when you order business cards. Each information template must be associated with an Oracle Purchasing item or item category. If an information template is associated with an item category, all items belonging to that category are also associated with the template.

Responsibility: Purchasing Super User

Navigation: Setup > Information Templates

Define the Template Name and enter all the other details

Created the "Doyen Information Template" and saved

9. Smart Forms Creation:

Requesters can procure an item or service that is not found in the catalog. For these cases, they can use a non-catalog request. The non-catalog request offers the ability to add an item or service to the shopping cart based on a description of the item or service. Through the use of smart forms, companies can conveniently control both the list of fields and whether a particular field is enterable or pre-defined. For example, purchasing organizations can lock-down the purchasing category for certain requests and thereby more accurately categorize spend. Similarly, purchasing administrators can ensure spend is exclusively directed to preferred suppliers, and default contract numbers achieve touchless buying.

The following figure shows the non-catalog request that requesters can enter. In the Item Type field, requesters can enter goods billed by quantity, service billed by quantity, or goods or services billed as an amount.

In addition to this standard non-catalog request, you can create different smart forms and assign them to one or more stores.

Oracle iProcurement provides a default standard smart form. The catalog administrator can create multiple additional smart forms. For example, you can create a Computer Services smart form and an Office Services smart form. Once these smart forms are assigned to a store, both appear for the requester to select from.

To use the single, standard smart form that Oracle iProcurement provides, you do not need to perform any setup other than the profile options.

Responsibility: iProcurement Catalog Administration

Navigation: Stores > Smart Forms

Click "Create Smart Forms"

Create the Smart Form by entering Name, OU, Item Type and Default item Information and Default Supplier Information details.

Assign the "Information Template" which was created earlier

Attached the Information Template "Doyen Information Template" which was created earlier to this Smart Form.

Click "Apply"

Will get the Confirmation page and it will display the newly created Smart Form name.

10. Create Stores:

A store enables you to group content zones and smart forms into a single, searchable store. The store should be easy for requesters to understand - for example, a store containing all computer supplies or all office supplies.

Responsibility: iProcurement Catalog Administration

Navigation: Stores > Stores

Click on "Create Store"

Enter the Store details and assign the Content Zones and Smart Forms

Click on "Continue"

Sequence Stores:

Assign the "Sequence"

Click "Apply"

Store is created successfully. But, it's not in the front in the list.

Click "Sequence Stores"

Assign the Sequence Number to our Store "Doyen Store"

Click "Apply"

Now, it's sequenced and displayed in the front.

11. Create iProcurement Responsibility:

Responsibility: System Administrator

Navigation: Security > Responsibility > Define

User - Responsibility Assignment:

Assign it to User "Doyen1"

Navigation: Security > Users > Define

Profile Options:

Create the Requisition:

Case I - Item without and with List Price:

Responsibility: iProcurement, Doyensys

Navigation: iProcurement Home Page

Search our item "Banners" in our Store "Doyen Store"

Item not available in our Store

List Price at Master Organization level:

Check the Item's "List Price" in Item Master

Navigation: Inventory > Items > Master items

List Price is not available for this item "Banners"

Enter the List Price in Master Org level and then check whether it's available in iProcurement.

Entered List Price in Master Org is 12.

Now check whether this item is available in iProcurement for shopping.

Responsibility: iProcurement, Doyensys

Navigation: iProcurement Home Page

Search for the Item "Banners"

Still this item is not available for shopping.

List Price at Inventory Organization:

Now, enter the List Price in child Organization

Navigation: Items > Organization Items

Query the Item and enter the List Price as 13.

Now query this Item in iProcurement

Responsibility: iProcurement, Doyensys

Navigation: iProcurement Home Page

Search for the Item "Banners"

Now, this item is available for Shopping.

Create Catalog Requisition:

Click "Add to Cart"

Item have been added into Cart.

Click "View Cart and Checkout"

Click "Checkout" 

Click "Next" 

Note: Approval list has not been generated. Because, "Owner can Approve" is enabled and preparer have the limit to approve this document.

Click "Next"

Click "Submit"

Requisition# 10006 has been created and submitted.

To check the Requisition status navigate to "Requisitions" TAB

Requisition# 10006 has been Approved.

Check the "Requisition Summary"

It's a Purchase Requisition and it's in Approved status.

So, List Price is must at Inventory Organization level.

Case II - Item with Blanket Purchase Agreement and without List Price:

Create the new item "Flex Boards" and DON'T enter the LIST PRICE. Also assign the Purchasing Category "Marketing.Items".

Assign it to Inventory Organization "OM1" 

Now, check this item is available in iProcurement for shopping 

Item is not available in iProcurement for Shopping.

Create the Blanket Purchase Agreement for the item "Flex Boards" with Price USD 25.

Responsibility: Purchasing Super User

Navigation: Buyer Work Center > Agreements 

Create "Blanket Purchase Agreement" and click "Go"

Enter the Header Details 

Enter the Line Details 

Price of the item "Flex Boards" is 25 USD

Click on "Approval Options" 

It follows the hierarchy "PO Approval Hierarchy"

Click on "Submit Document" 

Blanket Purchase Agreement# 5004 has been Created and Submitted for Approval.

Check the BPA Status in "Purchase Order Summary" form 

BPA has been "Approved" successfully.

Now check this item in iProcurement 

Now, this item is available in iProcurement for shopping with Price of USD 25 which is from BPA and can see the Source as "Agreement 5004".

Case III - Item with List Price and Blanket Purchase Agreement:

Create a new Item "Pamphlets" and enter the List Price as 30 USD

Create the BPA for this item with Item Price as USD 40

Blanket Purchase Agreement# 5005 has been created and Approved for the Item "Pamphlets" with USD 40.

Now check this item in iProcurement

This item is available in iProcurement with List Price USD 40. This price is from BPA and not from List Price.

Case IV - Item Without Shopping Category:

Step 1: Profile Option:

Set the Profile Option "POR: Autocreate Shopping Category and Mapping" to "Yes" (Site Level)

Step 2: Create new Purchasing Category "Purchase.Materials"

A). Navigation: Inventory > Setup > Flexfields > Segments

Query the KFF for "Item Categories" and check the Segments and Value Sets for "PO Item Category"

Note down the Value Set for both the Segments

Item Category  = PO Item Category

Commodity  = Commodity

B). Add the new values "Purchase" & "Materials" in both the value sets

Navigation: Inventory > Setup > Flexfields > Values

Add the new value "Purchase" in "PO Item Category" Value Set 

Add the new value "Materials" in "Commodity" Value Set 

C). Create the purchasing category as "Purchase.Materials"

Navigation: Inventory > Setup > Items > Categories > Category Codes

D). Add this new purchasing category "Purchase.Materials" into "Purchasing" Category Set

Navigation: Inventory > Setup > Items > Categories > Category Sets

Step 3: Item Creation:

Create a new item "Filter" with List Price USD 50 and assign the new Purchasing Category "Purchase.Materials".

Step 4: Check the Category Mapping:

Responsibility: iProcurement Catalog Administrator

Navigation: Schema > Category Mapping

Query the newly created purchasing category "Purchase.Materials"

Automatically Shopping Category has been created with the same Purchasing Category name and it's Mapped. This is because of that profile option.

Step 5: Item availability in iProcurement:

Check this item is available in iProcurement for shopping or not

Item not available in iProcurement. Because we have restricted the catalog by category name "Marketing.Items".

Step 6: Check our content zone "Doyen Content Zone" for our Store:

Responsibility: iProcurement Catalog Administrator

Navigation: Stores > Content Zones

Click on "Update" button for our content zone "Doyen Content Zone"

It's restricted to "Marketing Items" category.

Change this restriction and enable "Include items from all categories" 

Apply.

Now, check the item "Filter" is available in iProcurement for shopping or not 

Yes. Now, the item is available for shopping in iProcurement.

Case V - Internal Requisition through iProcurement

Step 1 - Profile Option:

Responsibility: System Administrator Navigation: Profile > System

Set the profile option "POR:Allow Manual Selection of Source" to "Yes" 

Step 2 - Create a Item and  Assign it to two Organizations:

Responsibility: Inventory Super User Navigation: Items > Master Items 

Created the Internal item "Internal Item2" with Purchasing Category "Purchase.Materials" and assigned to OM1 & OM2

Step 3 - Attach Inventory Organization into Location:

Navigation: Inventory > Setup > Organizations > Organizations

Query the Organization OM1 "OM_Inventory Organization" and note down the Location.

Location is "Doyen Newyork Location 1"

Now, attach the Inventory Org in Location.

Navigation: Inventory > Setup > Organizations > Locations

Query the Location "Doyen Newyork Location 1" and attach the Inventory Organization "OM1-OM_Inventory Organization"

Step 4 - Shipping Network:

Navigation: Inventory > Setup > Organizations > Shipping Networks

Define the Shipping Networks between both the Inventory Organizations OM1 and OM2 

Step 5 - Define Internal Order Transaction Type

Responsibility: Order Management Super User

Navigation: Setup > Transaction Types > Define

Defined the Internal Order "OM_Internal1"

Step 6 - Define Internal Customer

Responsibility: Order Management Super User

Navigation: Customers > Standard

Defined the Internal Customer "OM Internal Customer" and attached the internal location and organization in Ship To site.

Step 7 - Assign Internal Requisition Source Type in Purchasing Options

Responsibility: Purchasing Super User

Navigation: Setup > Organizations > Purchasing Option

Step 9 - Create Internal Requisition in iProcurement

Responsibility: iProcurement Navigation: iProcurement Home Page

Search for the item "Internal Item2" 

Click on "Click here to select a source" link 

We have the 100 quantities stock in OM_Inventory Organization2.

Select the Source as "Internal" and the organization is "OM_Inventory Organization2" 

Click on "Add to Cart" 

Click "View Cart and Checkout"

Click "Checkout"

Click "Next"

Click "Submit"

Step 10 - Requisition Summary

Check the Requisition Type and Status in Requisition Summary

Navigation: Purchasing > Requisitions > Requisition Summary

Step 11 - Run "Create Internal Orders" and "Import Orders" program

Step 12 - Query Internal Orders

Responsibility: Order Management Super User

Navigation: Orders, Returns > Order Organizer

Internal Order# 25001 has been created and it's Booked

Pick Release the order and do Shipping and then receive the item in OM1.

References:

http://oraclemasterminds.blogspot.com/2015/04/iprocurement-setup-document-and-its.html?_sm_au_=ikV8klD8mL733pNF

VSOE and Revenue Recognition

What is Vendor specific objective evidence(VSOE)==========================================Vendor Specific Objective Evidence, is Fair Value for Software. 
SOP 97-2 was designed for Software companies, and works fairly 
well for certain traditional business models.
The concept was introduced in 1997 by the AICPA in their Statement 
of Position (SOP) 97-2: It governs how any company that licenses, 
sells, leases or otherwise markets software (unless it’s incidental to 
the product or service as a whole) must recognize the revenue. 

In particular, it governs how companies must recognize revenue from
so-called “multiple-element arrangements” – bundles of software and
related products or services sold as a unit at a single price. 

Today, more and more companies find themselves dealing with 
VSOE as embedded software becomes an increasingly essential 
element in traditionally non-software sectors - consider cell 
phones, medical devices, computer networks, even cars with GPS
services, etc.

According to SOP 97-2: you allocate relatively, splitting the fee
amongst the products and related elements based upon VSOE – 
which is the price established by the vendor for the separate sale 
of each element. Each VSOE price is usually established through 
accumulation of a quantity of discrete sales “sufficient” to prove 
that the market, in it’s willingness to pay that price, thinks the 
price is fair. And here’s the big catch: 

You can not recognize revenue for any element either until VSOE 
exists for each and every element, or until all of the elements 
have been delivered. 

Sec's Statement of Postion (SOP) 97-2, Software Revenue 
Recognition and SOP 98-9, Software Revenue Recognition with 
respect to certain transactions, applied to all entities that license, 
sell, lease or market computer software. It specifies that revenue 
from an arrangement involving multiple elements should be 
allocated to the various elements based on VSOE fair values to 
the customer.

Sections of SOP 97-2 were amended with SOP 98-9, Software 
Revenue Recognition with respect to certain transactions, 
SOP 98-9 states that the residual method of revenue recognition is 
required when:
1. There is vendor specfic objective evidence of the fair values of all
undelivered elements in a multiple-element arrangment that is not
accounted for using long-term contract accounting.
2. VSOE of fair value does not exist for one or more of the delivered
elements in the arrangement and 3. All Revenue recognition criteria
in SOP 97-2 other than the requirment for VSOE of the fair value of
each delivered element of the arrangement are satisfied.
Elements of VSOE:
==================
-Software Licenses
- Warranty
- Installation
- Support and professional Services
- Training
Fair Market Value (FMV):
========================
The FASB defined 'fair value' in FAS 159 as "The price that 
would be received to sell an asset orpaid to transfer a liability
in an orderly transaction between market participants at the 
measurement date. " The key points in this definition are 
'orderly transaction' and 'market participants.' Thus fair value
can't be established by looking at an exchange of assets in a 
bankruptcy or between 'related parties' as defined by the SEC. 

Fair value is established by multiple, non- related market 
participants in 'normal, orderly transactions. ' VSOE, on the other
hand, is fair value as established by looking at the historical 
transactions of a specific vendor and does not consider what other
vendors are charging for similar products.

Revenue Recognition:
====================
Revenue recognition in today's regulatory and business 
environment involves sophisticated revenue scheduling and 
allocation, Vendor- specific Objective Evidence (VSOE) carve-outs
and Sarbanes-Oxley compliance. Thus having a common system 
for global compliance is key to reducing complexity.
Revenue recognition is a principle prescribing that revenue is 
recognized when earned. 

It has two considerations - when to recognize revenue, and how 
much to recognize. Revenue recognition is relevant for companies
to be able to adhere to legal compliance as per the US GAAP 
requirements.

Improper revenue recognition increases the risk of financial 
restatement, and financial restatements. Revenue for ISV's is 
typically divided into three categories: Software, Maintenance, and 
Services. Assuming that software customization is not required, 
revenue can be recognized when all of the following criteria are met: 

There are four basic criteria that must be met to recognize
revenue
- Evidence
- Delivery 
- Fixed or determinable fee
- Collectibility.

Revenue Accounting:
===================
Use the Revenue Accounting feature to quickly and easily adjust
revenue and sales credits at the transaction or line level. You can 
make manual adjustments using the Revenue Accounting and 
Sales Credits window. Alternatively, use the Revenue Adjustment
API to automatically perform these adjustments. Revenue 
Accounting uses the Actions Wizard to guide you through the process
of makingand modifying revenue adjustments.
You can also use the wizard to record early acceptance for an 
invoice line, if the line is associated with a contract that offers an 
acceptance clause.
Invoicing Rules:
===============
Use Invoicing Rules to specify whetherto record receivables 
amounts in the first (Bill in Advance) or Last (Bill in Arrear) 
Period. 
Invoicing rules determine when to bill the customer inrelation to
the accounting rule Periods. Accounting rules determine the 
accounting periods for revenue recognition and Billing.
Two invoicing rules are available: 



Bill in Advance: Use this rule to recognize receivables immediately.

Bill in Arrears: Use this rule to recognize the receivable at the end of 

the revenue recognition schedule.

•Invoicing rules determine whether to recognize receivables in the first or in the last accounting period.
•Once the invoice is saved, you cannot update an invoicing rule.
•If Bill in Arrears is the invoicing rule, Oracle Receivables updates the GL Date and invoice date of the invoice to the last accounting period for the accounting rule.

Accounting Rules: 
=================
Use Accounting Rules to determine when to record revenues.
Accounting Rule determine the number of periods and percentage 
of total revenue to record in each accounting period.

Each invoice can have different accounting rule.
Use the Accounting, Fixed Duration type to recognize revenue evenly 
over a specific number of periods. Revenue can be spread evenly or a 
percentage can be specified for each period. 

Variable Duration type to recognize revenue by a percentage for 
the first period. The remaining revenue is spread evenly across 
the number of periods you specify during transaction entry.

Accounting rules determine when to recognize revenue
amounts. Each invoice line can have different accounting rule. 

Oracle Receivables uses the First GL Date field in the Transactions 
window to determine when to start recognizing revenue. The number
of periods in which revenue is recognized is determined by the 
value in the Number of Accounting Periods field in the Transactions
window.Value defaults from fixed ruleValue must be entered for 
variable rule. Accounting distributions are created only after you run
the Revenue Recognition program. 

•Accounting distributions are created only after the Revenue 
Recognition program is run.
•For Bill in Advance, the offset account to accounts receivable 
is Unearned Revenue.
•For Bill in Arrears, the offset account to accounts receivable i
s Unbilled Receivables.
•Accounting distributions are created for all periods when 
Revenue Recognition is run.

Revenue Recognition Program Execution Report :
=======================================
Use the Revenue Recognition Execution report to review all 
revenuedistributions created for invoices that use invoice and 
accounting rules. 

This report displays the account class, GL Date, Accounting 
Flex field, the currency, amount, and accounted amount for 
the revenue distributions Revenue Recognition creates for 
each transaction.

Receivables automatically creates the Revenue Recognition 
Execution report whenever you run the Revenue Recognition
program, the Revenue Recognition Master program, or the 
General Ledger Interfaceprogram.

When the Revenue Recognition program encounters transactions 
with problems that prevent the creation of distributions, the 
program completes with a status of Warning, and Receivables 
includes these transactions at the bottom of this report.

•The Revenue Recognition program gives control over the creation
of accounting entries.
•Submit the Revenue Recognition program manually through the 
Run Revenue Recognition window.
•The Revenue Recognition program will also be submitted when 
posting to Oracle General Ledger.
•The program processes revenue by transaction, rather than by 
accounting period.
•Only new transactions are selected each time the process is run.

References:
https://oracleappsebsyashrajvarsity.blogspot.com/2009/05/vsoe-and-revenue-recognition.html
https://blogs.oracle.com/FinancialsMkting/entry/new_revenue_recognition_rules