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    Zehra Merchant
    Internal Requisition created even though Inter Org...
    Topic posted November 1, 2019 by Zehra MerchantBlue Ribbon: 750+ Points, tagged Create Requisition, Internal Material Transfer, Requisition Processing 
    59 Views, 18 Comments
    Title:
    Internal Requisition created even though Inter Org Parameters does not setup for IMT
    Summary:
    Internal Requisition created even though Inter Org Parameters does not setup for IMT
    Content:

    Hello,

    We have below scenario for Health care client:

    Two Inventory Organizations defined in the system : Central Warehouse(CWH) and Hospital.

     

    Below are the Processes followed

    1. hospital will request stock from CWH internally by IMT process.

    2. CWH will procure stock from Supplier always.

    3. Hospital can also send some stock back to CWH by Inter Org Transfer Transaction.

    For this we have done setup of Inter Org Parameters as below :

    1. Source Org : CWH ----> Destination Org : Hospital

        Flag : Transfer order required : Enabled

    2. Source Org: Hospital ----> Destination Org : CWH

        Flag : Transfer order required : Disabled

     

    System Behavior:

    1. Item shows Internal Order-able (visual) in both the Organization in Product Catalog

    2. User in creating Requisition from Hospital by adding item to dd to cart, it creates IR from CWH which is expected behavior.

    3. If User Creates Requisition from CWH which must be Purchase Requisition , but it created IR from Hospital which is incorrect and looks like Product Bug.

    Attached Screen shot for the reference.

     

    Thanks,

    Zehra Merchant

    Document:

    Comment

     

    • Ashok

      Hi Zehra

      Transfer Order setting of Enabled or Disabled does not indicate whether an internal transfer is allowed or not. It is indicative of whether a formal transfer order document is produced or not. In other words transfer can occur between two orgs even without transfer order being mandatory.  In our Self Service Procurement integration, we always create a transfer order for use cases. The flag, as we clarified with the Logistics (SCM) team, is used as follows:

      ====================================================================================================================================This flag is only indicating if simple inventory Inter org transfer is allowed. If it is checked, they can only use transfer order to do the org transfer. Otherwise they can use both ways - transfer order or simple Inter org transfer

      ====================================================================================================================================

    • Zehra Merchant

      Hi Ashok,

      Thank you for the quick update. 
      Well in this case its very confusing for the user as he always wants to raise Purchase Requisition from wareshouse. There is no use of Product Catalog for warehouse user. Even while reviewing requisition before submitting there is no visual indication that it is PE or IR.  

      As per your comment “In other words transfer can occur between two orgs even without transfer order being mandatory. “

      Here we want to make sure that IMT is not enabled from Warehouse to Hospital ( means WH should not raise IR)  
       

      Kindly suggest!

       

    • Ashok

      Have you tried not having the Source Org definition / configuration for Warehouse to Hospital? Or, have you tried setting Internally Transferable attribute for the item to Unchecked in the item definition. Basically, try avenues to turn off the IMT usage for that item.

      My colleague Mara has been discussing this based on the original post with the Logistics (SCM) team. I will also check to see if she has any suggestions here that could help.

      Thanks

      Ashok

    • Zehra Merchant

      Hi Ashok,

      As per IMT setups, internally transferable flag must be checked for both Source and Destination orgs.
      so here in our test case flag is set to Y in warehouse  as well as in Hospital. 

      also based on this  flag,  the visual indicator is shown at SSP catalog. Here also for my Warehouse i do not want that item to be seen as Internally transferable as user will never request for internal transfers from Warehouse. But due to this flag it shows visual indicator which is again confusing for the user. And after defining Interorg parameters from both source and destination it makes my product catalog useless and more error prone at warehouse . 
       

      what we feel is that in Cloud IMT Process is not very user friendly and rather confusing mainly at the requesting part of it. 
      still we are not clear how it behaves and showing it to client and make them understand all this complexities is another challenge. 
       

      I hope Oracle will provide better clarity and make process simple. 
       

      Waiting to hear from you on above concerns. 

    • Ashok

      If you have a test instance, do try what I said (independent of what you believe the IMT setups require) and check if the issues you have raised exist. I will confer with the concerned teams as well to discuss the questions raised here. We will definitely revert when we have something to share.

    • Ashok

      Here is an article that references the 'Internally Transferable' attribute settings and the impact of setting it at a child org or a master org level. Do take a read and if your configurations are similar, you should be able to try what I said earlier. If your configurations are not similar, do let me know.

      https://cloudcustomerconnect.oracle.com/posts/f2fb6242a7

    • Zehra Merchant

      Dear Ashok,

      Thank you for the update.

      I have already gone through this post (https://cloudcustomerconnect.oracle.com/posts/f2fb6242a7)  before posting it to here and it is related to how visual indicator will reflect based on Deliver to Org. It says that if Internally Transferable flag is YES on Inventory Org then visual indicator will be shown in SSP. That is working fine.

      I have done below test case as you said:

      Inv Org : Central Warehouse

      Internally Transferred Flag - NO

      Inv Org : Hospital

      Internally Transferable Flag - YES

      Inter Org Parameters :

      Source : Warehouse -> Destination : Hospital

      Transfer Order Required Flag : YES

      Now when I create requisition from Warehouse through catalog, It creates Purchase Request

      But when I create requisition from Hospital through catalog or Line entry it does not have source as Central Warehouse.

      So my observation and even Oracle says in Doc (Attached here for your reference) that Internal Transferable Flag must be set to Y for both Source and Destination Org. Otherwise it will not Pick the source even if Inter org parameters are set.

      My Issue is not with the visual indicator.

      What I have observed during my test cases is that in SSP while system creates IR through Line Entry it shows multiple source org based on Inter-org Parameters although we want that Internal material transfer should happen only from specific Orgs. With other Orgs (like Hospital to Hospital Transfer)  we do not want IMT process and normal Inventory Org transfer is sufficient.

      We can even discuss this offline and put our conclusion here.

       

    • Ashok

      Hi Zehra

       I think it bears mention though that through SSP flows, there is no concept of a 'normal' inter org transfer. All IMT flows if you are going to use Enter Requisition Line or the Shopping Flows, will ONLY happen using a Transfer Order whether the Transfer Order Required Flag in Inter Org Parameters configuration is set to Yes or not. But I believe you already are aware of this.

      I will review the details you have provided here to see if I am missing something, and sure, we can discuss offline.

      I have requested my colleague Mara to review these details and the post.  You should expect some update from us next week.

      Cheers

      Ashok

      • Zehra Merchant

        Thank you Ashok.

        Kindly if we can get resolution earliest as we have CRP2 scheduled in few days and we need to be very clear regarding processes.

        Thanks,

        Zehra Merchant

    • Mara Prieto

      Hi Zehra,

      For your use case I can only see this working via Planning and INV min-max:

      1. To replenish CWH from suppliers, they should run min-max, which will create purchase reqs to PO. This flow does not create IMTs.

      2. With Planning - the suggestion below needs to be reviewed with Planning for the right implementation
      - Inter-org requests for the hospitals - Planning creates IMTs directly in INV without SSP; needs to know how to automate the right transfers
      - GOP sourcing rule with precedence for transfer from CWH to hospital - this way in SSP, CWH is always the default source org.

      Hope this helps,
      thanks
      mara

    • Zehra Merchant

      Dear Mara,

      Below are my comments:

      1. To replenish CWH from suppliers, they should run min-max, which will create purchase reqs to PO. This flow does not create IMTs.

      ---- Yes this is correct but as you know for any new implementation Replenishment Process is not efficient from day one. Also we will be having Min Max based on consumption history and from beginning history will not be available. So it takes time for any client to stabilize the Min Max planning. As per your comment it seems that SSP is of no use for Warehouse people to raise Catalog request. Client would say why we bought the SSP license if we have to do by line entry only.

       

      2. With Planning - the suggestion below needs to be reviewed with Planning for the right implementation
      - Inter-org requests for the hospitals - Planning creates IMTs directly in INV without SSP; needs to know how to automate the right transfers
      - GOP sourcing rule with precedence for transfer from CWH to hospital - this way in SSP, CWH is always the default source org.

      ---- Again here its about giving precedence to CWH while internal transfer. That we can do but the question remains same as User can see other Hospitals as source and that may lead to wrong IR.

       

      The ultimate requirement here is that just by defining Inter Org parameters it enables IMT for all which is not acceptable.

      There should be some way to tell enable IMT from this source to that destination. It really mess us our solution.

      Kindly suggest!

      I also request other community members to provide their input if you have come across such complexities.

      Appreciate any input or suggestions on this.


      Many Thanks,

      Zehra Merchant

    • Zehra Merchant

      Dear Mara,

      kindly suggest. As if its a product bug we need the solution on it. 
      We are approaching CRP2 and need to finalize the flows. 
       

      Many Thanks,

      Zehra Merchant

    • Mara Prieto

      Procurement does not have control on the sources users can select for IMTs.
      The sources are provided by Supply Chain Orchestration based on Inventory or Planning setup.

      Without Planning, the sources will be based on inter-organization parameters, and item setup (stockable in a source org). The transfer order required flag is part of the inter-org parameters, which is Inventory functionality.

      For proper evaluation on how sources can be determined, please contact the Inventory team and/or the Planning team if GOP sourcing rules is an alternative to consider.

      SCO and INV know the rules for determining source organization and are in a better position to propose alternative solutions beyond what Ashok and I have replied.

      thanks
      mara
       

      • Zehra Merchant

        Thank you Mara for the update. I do understand its a functionality of inventory to determine the source. But as SSP is also providing a way to connect with Inventory module there should be option to select for user whether he wants to create PR or IR. 

         

        Also kindly suggest do I need to again create a new post in Inventory forum and again make them understand the while scenario or it can be internally discussed and transferred. 

        Many Thanks,

        Zehra Merchant 
         

    • Mara Prieto

      The issue is that you want CWH to source Hospital, but CWH should not do IR in SSP, but CWH apparently should be able to do other move orders in INV.

      Have you tried to make items non-stockable in Hospital. If the item is non-stockable in Hospital, when you add item to cart with destination org CWH, it will be added as purchasable item (assuming there is no other org that stocks the item and sources CWH).

      In summary, these are the options:

      1. Remove inter-org transfer relationship to CWH from inter-org parameters
      2. Make item non-stockable in Hospital so Hospital wouldn't be able to source item to CWH

      If none of the above is sufficient, then it is better to create another post to INV not only stating the issue, but also the reason why the above suggestions are not acceptable either. This would hopefully save some time in discussion with SCM.

       

      thanks
      mara

       

      • Zehra Merchant

        Hi Mara,

        Thank you for the suggestions.

        Unfortunately both the options are not sufficient as per below comment

        1. Remove inter-org transfer relationship to CWH from inter-org parameters

        --- We have Inter org transfer from Hospital to CWH so can not remove this


        2. Make item non-stockable in Hospital so Hospital wouldn't be able to source item to CWH

        ---- This can not be done as we have to transact the stock in hospital as well

        I will create new post in Inventory to get the issue resolved!

        Thanks,

        Zehra Merchant

         

    • Deepak Padhy

      Hi Zehra - As you mentioned sometimes Hospital needs to transfer material to CWH via inter org transfer so you can not remove the inter-org relationship. So if I am not wrong system always prefers interorg transfer than external PO, hence when you select your destination as CWH and create requisition system finds inter org relationship "from Hospital to CWH" and hence creates IR sourced from Hospital.

       

      If you want to avoid this situation,  instead of adding the item directly to the cart from the requisition home page as shown in your screenshot, you can go via "More task - enter Requisition line - enter item # Combivent unit does". As soon as you enter the item system will show source type "Inventory" and Source org "Hospital". but you can change the source type manually to Supplier and create PO for the external suppliers.

       

      Thanks

      Deepak.

       

      • Zehra Merchant

        Hi Deepak,

        Yes your point is correct but this solution is not practical for the user to every time change the source. Also as request has been raised by end users and for them it should happen in couple of clicks without looking for so many validations wether which source it is taking. Here errors are more likely to happen that user will creat IR instead of PR. 

        And above all if end user can not use catalog requisition what is the use

        of SSP license then. 
        So here using line entry is also not making end user’s life easy. 

        Kindly advice if system can stop taking hospital aa source while raising request from CWH  

        Thanks,

        Zehra Merchant