Oracle Fusion Inventory Configuration Checklist

1 Locations

2 Reference Data Sets

3 Business Units

4 Assign BU Function

5 Facility Shifts

6 Facility Workday Patterns

7 Facility Schedules

8 Manage Item Org Value Sets

9 Item Master org

10 Manage Inv Org Value Sets

11 Inventory Org

12 Sub Inventory

13 Units of Measure

14 Manage UOM Interclass

15 Manage UOM Intraclass

16 Manage UOM Profiles

17 Manage UOM Usages

18 Item Status

19 Lifecycle Phases

20 Operational Attribute Group

21 Manage Item Class

22 Manage Item templates

23 Functional Catalog

24 Inventory Value Set

25 Inventory Locator KFF

26 Manage SCM Common Value Sets

27 Manage Inventory Lookups

28 Manage Receiving Value Sets

29 Manage Receiving DFF

30 Manage Lot and Serial

31 Manage Lot Expiration Actions

32 Manage Inventory Prof Options

33 Manage Material Status

34 Manage Lot Grades

35 Manage Item Default

36 InterOrg Parameters

37 Intersubinventory Parameters

38 ABC Assignment Group

39 ABC Class

40 ABC Classification Set

41 Inventory Account Aliases Key Flex field

42 Account Aliases

43 Min-Max Classification Groups

44 Min-Max Policy profiles

45 Min-Max Policy Profile Assignment

46 Transaction Sources and Types

47 Inventory Transaction Reasons

48 Receiving Parameters

49 Receiving Profile Options

50 Carriers

51 Transit Time

52 Shipping Lookups

53 Shipping Cost Types

54 Release Rule

55 Release Sequence Rule

56 Manage Pick Slip Grouping Rules

57 Manage Picking Rule Assignments

58 Manage Picking Rules

59 Ship Confirm Rules

60 Shipping Document Job Set Rules

61 Shipping Doc Output Preferences

62 Shipping Parameters

63 Manage Transit Times Value Sets

64 Shipping Exceptions

65 Manage Shipping DFFs

66 Manage Shipping Value Sets

67 Manage Carriers Value Sets

68 Manage Carriers Lookups

69 Manage Consumption Rule

70 Manage Document Style

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Lot Numbers vs. Serial Numbers in Oracle Fusion

Inventory Tracking: In Oracle Fusion, lot-controlled items are tracked by a group or batch, while serial-controlled items are tracked individually. The system can be configured to handle both types of tracking, depending on the item characteristics and business processes.Order Management: For sales orders and purchasing, if your item is lot-controlled, the system will manage inventory in bulk lots. For serial-controlled items, the system tracks each unit independently.Costing and Tracing: Lot-controlled items allow for simplified costing as the cost is applied to a lot rather than individual units. However, serial-controlled items enable more granular traceability and help track costs more accurately on a per-item basis.Returns and Warranty: Serial numbers are ideal for managing warranty tracking and handling returns based on the individual item. Lot numbers are less useful for this purpose, as they track a group of items rather than individual units.

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Interorganization Transfers

It's used to transfer items between two inventory organizations

Type of Inter-Organization Transfer

1. Direct

Item receiving directly.

2. In transit

Items move directly from the source organization to the in-transit inventory.

Setup

interorganizational parameters

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How can we enable Mobile inventory in Oracle Fusion?

Step 1: Enable Profile

ORA_INV_MOBILE_INVENTORY_MANAGEMENT_REDWOOD_ENABLED profile option code.

Globle Serach>Search>Manage Administrator Profile Values>ORA_INV_MOBILE_INVENTORY_MANAGEMENT_REDWOOD_ENABLED

Set site YES

Step 2. Run the Following SS jobs one by one

(I) Navigate to Tools > Scheduled Processes, then click Schedule New Process

(ii) Search and select the process name: ESS job to create the index definition and perform initial ingest to OSCS

Parameter values for index name to reingest:

fa-scm-rcv-expected-po-receipts
fa-scm-rcv-expected-asn-receipts
fa-scm-rcv-expected-to-receipts
fa-scm-rcv-transactions

Step 3
Ingest Receiving Search Indexes

Tools > Scheduled Processes, then click Schedule New Process

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Cycle Count by Category in Oracle Fusion Inventory

Cycle Counting is an inventory accuracy analysis technique used in Oracle

Fusion Inventory to maintain precise inventory balances.

Instead of performing a full physical inventory only once a year, this method

involves counting smaller subsets of inventory on a scheduled

and recurring basis. The goal is to continuously monitor and verify

inventory accuracy, both in terms of quantities and values

throughout the year. In Oracle Fusion, cycle counts can be scheduled automatically based on defined periods, such as daily, weekly, or monthly, depending on the item's importance, movement, or classification (e.g., ABC classification). This proactive approach improves inventory reliability, reduces operational disruption, and supports compliance with audit requirements.

Cycle Count Criteria in Oracle Fusion Inventory

Cycle counting is a methodical approach to periodically counting selected inventory items throughout the year. This practice significantly improves inventory accuracy by identifying and correcting discrepancies on an ongoing basis rather than relying solely on an annual physical inventory.

In Oracle Fusion Inventory, you can define cycle count criteria based on the following:

✅ 1. Item Categories:

You can also group items using item categories maintained in the Product Information Management (PIM) work area. This allows you to perform cycle counts for specific item groups, such as raw materials, finished goods, or office supplies

✅ 2. ABC Classification:

Items are categorized into A, B, or C classes based on factors such as transaction frequency, value, or criticality. Higher priority (A-class) items are typically counted more frequently than lower priority ones.

Note: The following article will cover the configuration of Cycle Counting based on Item Categories. In the next article, we will explore the configuration using ABC classes

✅ 1. Item Categories:

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(i) Click on Supply Chain Execution

(ii) Click on Inventory Management

Click on Create Cycle Count

(i) Enter Count Name

(ii) Check On CyclwCount by Category (We are doing Category-wise count, therefore we select )

(ii) Select Sub inventory and click on ''include in Count"

(iv)Click on "Next"

Cycle Count Frequency

Cycle Count Frequency determines how often an item should be counted within a defined period, based on its classification or importance. In Oracle Fusion Inventory, this helps maintain inventory accuracy by allowing more frequent counts of high-value or high-transaction items.

(i) Check ON "Auto Schedule"

(ii) Select " Frequency form LOV"

(ii) Select " work schedule "

(iii( Enter "Next Schedule date"

(iv) If you want approve, then Select On Check for the approve

(v) Click on "Next"

(i) Enter "Starting Count Sequence"

(ii)Enter "Maximum Days Before Late"

(iii) Enter "Start Date"

(iv)Click on Next

Check the highlighted Field

(i) Select "Category "

(ii) Click on "include"

(iii) Click on "Next."

(iv) Select "Synchronization Mod"

(i) Select "Category Name" and Insert "Item"

(ii) Click on "Next"

Click on "Save and Clock."

(I) Click on Manage Cycle Count

(ii) Select "Cycle Count"

(iii) Click on "Action" and Click on "Generate Count Schedules"

Click on "OK"

Completed

(i) Click on "Action"

(ii) Click on "Generate Count Sequences "

(iii) Click on "OK."

Completed

(i) Click on "Action"

(ii) Click on "Record Count Sequences "

(iii) Enter Item Quantity and Click on "Save and Submit"

(iv) Click on OK

(i) Click on "Action"

(ii) Click on "Record Preapproved Count Sequences "

i) Click on "Action"

(ii) Click on "Approved Count Sequences "

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Procurement

Procurement refers to the process of obtaining goods, services, or works from an external source, often via a tendering or purchasing process. It involves the entire set of activities related to acquiring goods and services, including planning, sourcing, purchasing, and managing supplier relationships. Procurement is a critical function in both public and private sector organizations, ensuring that the necessary resources are available to meet business needs efficiently, cost-effectively, and in a timely manner.

Types of Procurement

1. Direct Procurement (or Direct Sourcing)

Description: Involves acquiring goods and services that are directly related to the core operations of a business, often for manufacturing, production, or day-to-day operations.
Examples: Raw materials, components, machinery, and equipment used in production.
Purpose: Ensures that the organization has the materials required for its primary business functions, such as producing products or delivering services.

2. Indirect Procurement (or Indirect Sourcing)

Description: Refers to goods and services purchased that are not directly used in the production process but are essential for the company's day-to-day operations. These are typically for support functions.
Examples: Office supplies, IT services, marketing services, cleaning services, and travel.
Purpose: Helps support business operations and enhances productivity, but is not directly involved in creating products or services.

3. Capital Procurement

Description: Focuses on purchasing high-value items that are usually long-term investments or assets for an organization.
Examples: Real estate, machinery, vehicles, large infrastructure projects.
Purpose: Ensures that the organization acquires significant assets that support long-term growth and development.

4. Services Procurement

Description: Involves procuring services rather than physical goods. This may include outsourcing or contracting for a range of services that the organization requires.
Examples: Consulting services, legal services, facility management, staffing services, IT support.
Purpose: Supports organizational functions that cannot be managed in-house, often to reduce costs, gain expertise, or focus on core activities.

5. Strategic Procurement

Description: This type of procurement focuses on long-term planning and the development of relationships with suppliers. It aligns with the organization's strategic objectives and aims for optimal sourcing decisions that support future business growth.
Examples: Developing long-term supplier partnerships, negotiating global contracts, or sourcing critical technology.
Purpose: Helps organizations secure a competitive advantage through better supplier collaboration, improved innovation, and better risk management.

6. Tactical Procurement

Description: Focuses on short-term, operational purchases based on the immediate needs of the organization. Tactical procurement is more reactive and short-term in nature compared to strategic procurement.
Examples: Purchasing materials for a short-term project, fulfilling urgent needs, or procuring office supplies.
Purpose: Ensures immediate needs are met with a focus on efficiency and cost-effectiveness.

7. E-Procurement (Electronic Procurement)

Description: Involves using digital platforms and systems to manage the procurement process. It can automate much of the procurement cycle, from identifying suppliers to issuing purchase orders and receiving invoices.
Examples: Using procurement software, online supplier portals, or electronic invoicing systems.
Purpose: Streamlines the procurement process, increases efficiency, reduces errors, and offers better control over spending.

8. Global Procurement

Description: Refers to sourcing goods and services from international suppliers, often in different countries, to take advantage of global markets.
Examples: Sourcing raw materials from low-cost countries, establishing global supplier relationships for mass production.
Purpose: Enables businesses to access resources that might not be available locally, reduce costs, or take advantage of global innovation and expertise.

9. Sustainable Procurement

Description: Focuses on obtaining goods and services that minimize environmental impact and are socially responsible. It is driven by a desire to promote sustainability.
Examples: Purchasing eco-friendly materials, working with suppliers who have sustainable practices, or buying fair-trade goods.
Purpose: Ensures that the procurement process contributes to a company’s sustainability goals, reducing its environmental footprint and supporting ethical business practices.

10. Public Procurement

Description: Refers to the procurement process used by government organizations or public sector entities. It is often regulated by strict rules and guidelines to ensure transparency, competition, and accountability.
Examples: Government contracts for construction, technology, or consulting services.
Purpose: Ensures that taxpayers' money is spent responsibly, and that procurement processes are fair, open, and efficient.

11. Reverse Procurement (Reverse Auction)

Description: This is a type of procurement where suppliers compete to offer the lowest price for goods or services. The buyer initiates the process by specifying their requirements, and suppliers bid to win the contract.
Examples: Online bidding for construction projects, bulk purchasing of materials.
Purpose: Aims to achieve cost savings by encouraging competition and reducing the procurement cost.

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Type of PO in Oracle Fusion

1. Standard Purchase Order (PO)

Description: The most common type of PO, used for acquiring goods and services on a one-time or recurring basis. It is typically used when the terms (price, delivery, etc.) are agreed upon before the order is placed.
Use Case: Used when the company knows the exact items and services to be purchased, and the quantities and pricing are fixed or agreed upon.
Example: Purchasing raw materials or office supplies from a supplier.

2. Blanket Purchase Agreement (BPA)

Description: A long-term agreement between the buyer and the supplier to provide goods or services at predetermined prices, with delivery occurring as needed over time. A Blanket Purchase Agreement is typically used for high-volume or recurring purchases.
Use Case: Suitable for ongoing purchases or when an organization expects to make frequent purchases from the same supplier over a period.
Example: A company entering into an agreement with a supplier to provide stationery over a year.

3. Procurement Contract Purchase Order

Description: This PO type is used in conjunction with a Procurement Contract, where the terms of the agreement are negotiated and formalized in the contract. The PO is based on the conditions of the contract.
Use Case: Used when the procurement is part of a larger, more formal contract agreement between the supplier and the buyer.
Example: A company might enter into a contract with a supplier for specific terms (price, delivery schedule, etc.), and the POs are raised against this contract.

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How can we enable the AI and RedWood Purchase Order page

Step 1

Manage the administrator profile

Access the new Purchase Orders page, you must enable the Redwood Page for Purchase Orders Enabled for Purchasing (ORA_PO_PURCHASE_ORDERS_REDWOOD_ENABLED)

Create Customize Rule

PO_VIEW_PURCHASING_WORKAREA_PRIV

PO_MANAGE_PO_WITH_REDWOOD_PRIV

PO_SEARCH_PURCHASE_ORDER_PRIV

FND_MANAGE_SCHEDULED_JOB_DEFINITION_PRIV

Step 2

Run the following ESS jobs one by one

Run the ESS job to create index definition and perform initial ingest to OSCS scheduled process with this index name:

Purchase Orders: fa-prc-po

Step 3

AI enables approval

Create a Custom Rule and assign the Following rule

PO_COMMUNICATE_PURCHASING_DOC_PRIV

PO_VIEW_PURCHASE_ORDER_PRIV

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Onboarding Welcome Email to Supplier

In the Local Language in Fusion Supplier Management

Setup

Step 1

1. Click on Setup Maintenance>Select Procurement Offering>Click on Supplier > Configure New Supplier Notification

Step 2

1. Enter Email Subject

2. Email body

In the body of the email, include a welcome message to the supplier in their local language

Step 3

Step4.

Supplier will receive the following Welcome Email

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Attachments Not Visible in (PR) or (PO) in Oracle Fusion

In Oracle Fusion, when a requester or buyer submits a Purchase Requisition (PR) or Purchase Order (PO) along with an attached document and sends it for approval, the approver is unable to view the attachment during the approval process. This issue typically occurs when the attachment is not assigned the correct category and does not have view Access.

Solution

Click on the bill notification icon

Click on Show All Tasks

Click on Work List

(i) Click on Name

(ii) Select administration

Click on Task Configuration

(i) Write in Search ReqApp and Click on Show

(ii) Select ReqApproval

Click on Access and attachment, add Reviewers

Attachment Show

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Date 02-Oct-2025

How can we create and register a supplier in Oracle Fusion?

To create and register a supplier in Oracle Fusion, follow these steps:

Navigate to Suppliers
Go to Procurement → Suppliers.
Create Supplier
Click Create Supplier, then enter the supplier’s basic details, such as:
- Supplier Name
- Tax Organization Type
- Country
- Taxpayer ID / Registration Number
- Supplier Type
Define Addresses & Sites
Add supplier addresses (e.g., headquarters, billing, shipping) and assign sites to
Business Units.
Add Contacts
Provide supplier contact information, including names, emails, and phone numbers.
Banking & Payment Details (Optional)
Enter banking information and payment terms if required.
Register Supplier
Once details are complete, choose Register Supplier (for external registration) or
Approve Supplier (if internal).
Approval Process
Depending on your organization’s setup, supplier registration may require approval
from Procurement or Supplier Management teams.

Active Supplier

After approval, the supplier becomes active and can be used in Procurement transactions

(PO, Sourcing, Invoicing, etc.)

Creation of Supplier

(i) Click on Procurement

(ii) Click on Supplier

Click on Create Supplier

(i) Enter all information below

(ii) Click on Create

Business Classification

It is used to categorize suppliers based on their business type or certifications. It helps

organizations identify, qualify, and report on suppliers according to compliance, diversity,

or regulatory requirements.

Products and Services

It represents the categories of goods or services that a supplier can provide to your

organization.

These are typically aligned with the UNSPSC (United Nations Standard Products

and Services Code) or your company’s internal procurement categories

.For example, Computer Supplies

Supplier Address

It is the physical or mailing location associated with a supplier. It is used to define

where purchase orders, payments, or shipments should be sent.

Supplier Site Assignment

In Oracle Fusion Procurement, a Supplier Site Assignment refers to linking a supplier’s

site (such as an ordering, billing, or payment location) with specific Business Units (BUs)

so that the supplier can be used for transactions in that BU.

Registration of Supplier

External Registration of Supplier

We copy a link from the Procurement Business function and then send it to the supplier .through this link a supplier can register by self both sped and Auth

Click on Setup and Maintenance

Click on Production Foundation

Click on Configure Procurement Functional

Select BU and Click on OK

Copy the link and Share with The Supplier

Enter Company Detail

Enter all information

Click on Next

Contacts

Enter Contacts Details

Click on Next

Buiness Classification

Bank Account

Enter Bank Detail

Product and Service

Enter Product and services

Review

Click on Register

End

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Supplier Qualification

The primary purpose of Supplier Qualification is to assess and evaluate suppliers based on the organization’s predefined criteria. Each company establishes its own specific standards and requirements that a supplier must meet in order to be considered qualified.

Click on Procurement

Click on Supplier Qualification

Click on Task
Click on Manage Question

1. Manage Question

We have three types of questions. One is a normal Question created for the supplier, and the other one is an internal survey and Automatic.

Question level:

Two levels of Question

(i) Supplier

(iI) Supplier Site

Responder Type ;

(i) Supplier

(ii) Internal survey

(iii)Automatic

Internal Survey

It is used for the internal response of the supplier

Create Questiuons

Click +

(i) Enter Name

(ii) Select Question Level "' Supplier"

(iii) Select Response type ''Automatic"

Enter the Response level

Question Branching

This is used for when we ask a question within in question

Click on "Save"

Click on "Activate''

Question is Created

Qualification Areas

In Oracle Fusion Supplier Qualification, Qualification Areas represent the structured categories under which suppliers are evaluated. Each area contains specific questions, requirements, or assessments that help determine whether the supplier meets the organization’s qualification standards.

Click on Task

Click on Manage Qualification Area

Click on +

Enter Qualification area Name

Enter expiration date

Click on Outcome

Clkick on + and add a Question

Click on + and add Qualification Area outcome

Select Knockout

Click on Save

Click on Activité

Click Save and Close

Manage Initiative

Manage Initiative allows organizations to systematically evaluate suppliers, ensure compliance with internal standards, and maintain consistent qualification processes within Oracle Fusion Sourcing & Procurement modules.

Types of Initiatives in Oracle Fusion Supplier Qualification

Oracle Fusion provides two types of initiatives, each serving a different purpose in evaluating suppliers

1. Assessment Initiative

An Assessment Initiative is used to perform a one-time evaluation of a supplier.
It helps organizations gather information, documents, or responses from suppliers for a specific business need—without affecting the supplier’s official qualification status.

Key points:

Used for informal or ad-hoc evaluations.
Does not update the supplier’s qualification status.
Useful for internal review, risk checks, or simple information gathering.
Can be launched for specific events such as onboarding, compliance checks, or product category assessments.

This type is ideal when the organization only needs information but is not yet ready to formally qualify the supplier.

2. Qualification Initiative

A Qualification Initiative is a formal evaluation process that determines the supplier’s official qualification status.
It is used when the organization wants to qualify, requalify, or update a supplier’s standing in the approved supplier list (ASL).

Key points:

Directly affects the supplier’s qualification status (Approved, Conditionally Approved, Rejected, etc.).
Based on predefined Qualification Areas and models.
Results are used in procurement decisions, sourcing activities, and compliance tracking.
Supports scoring, team evaluation, document verification, and approvals.

This type ensures the supplier meets the company’s mandatory standards before participating in procurement activities.

Click on Create initiative

Enter all information

Click on +

Add Qualification Area

Add Evaluation Team

add Supplier

we can see how the Question will display to the Supplier

Click On Validate

Cllick on Lunch

Supplier Response

We can see all the Question Details

Click on Response to the Question

Enter Response. Click on Save and Submit

Monitor Initiative

We can see Supplier Response received'

Review and Accept

If you want some more Information the we can resend it to the Supplier. Otherwise, if everything is ok, click on Accept

from the Action we can resend to the Supplier for more information

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Redwood Self Service

Welcome to REDWOOD Self-Service Procurement

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How can we search inventory items in Redwood Self-Service Procurement

Configuration

Step 1: Enable Opt Feature

Enable the following Feature

Step 2: Create a customized role OR Create A Copy of Advanced Procurement and add the following duty role

POR_MANAGE_REQUISITION_PRIV

Requisition Self Service Responsive Application User

Requisition Self Service User

Step3. Add this role to the user.

Step 4: Profile Values Setup

(I) ORA_FND_SEARCH_EXT_ENABLED

Manage Administrator Profile Values

Enable/Disable Search Ext Framework profile

(iI) ORA_FND_SEARCH_FETCH_COUNT

Step No.5; SS JOB Rune

(I) Search and select process name: Transform Data Post Upgrade

Parameter Value for Feature Name: POPULATE_ELASTIC_INTERMEDIATE_TABLE

(II) Search and Select process name: ESS job to create index definition and perform Initial Ingest to OSCS

Parameter Value for Index Name to Reingest: fa-prc-shoppingcatalog

(iii) Search and select process name: ESS job to create index definition and perform Initial Ingest to OSCS.

Parameter Value for Index Name to Reingest: fa-prc-por

(iv) Process name: ESS job to run Bulk ingest to OSCS

Parameter Value for Program Name to run Bulk Ingest: prc_por_downstream

(v)Search and Select process name: ESS job to create index definition and perform Initial Ingest to OSCS

Parameter Value for Index Name to Reingest: fa-prc-pa

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Sourcing

Oracle Souring Flow

1. Create Request

2. Enter Cover Page information

3, Enter Overview

4. Requirement

5 . Line information

6. Contract

7. Supplier information

8. Review

9 . Publish

10 . Supplier Response

11, Closed

12 . Evaluating

13 . Award

14 . Purchase Order

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Souring Type

1 .RFQ

2 . RFI

3 .Auction

4 .Reverse auction

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Sourcing Implementation

1. Prerequisite Sourcing Implementation

1.1 Create User and Assing all the following Rule.

1. Application Implementation Consultant

2 . Category manager

3 . Supplier Bidder

4 . Sourcing Project Collaborator

2 Enable Opt Feature

Create Single Stage

Cover Page

It's just like your CV. The purpose of the cover page write the Summary of the Negotiation. You can insert different types of variables according to your requirement