Oracle SCM Functional Interview Questions & Answers - Inventory Module – Part IV Refer: http://learnoraclecsbscm.blogspot.com What is inventory control? Inventory control is the process of reducing inventory costs while remaining responsive to customer demands. By this definition a store would want to lower its acquisition, carrying ordering and stockout costs to their lowest possible levels. However a store would need to have enough inventories to meet any needs of its customers. c ustomers. What does inventory affect in a store? Inventory levels and their values can affect the income of the store, the amount of taxes paid, and the total stocking cost. How can the value of inventory be determined? The value can be found using four methods in inventory control. Standard Cost: The specific cost in which each item's cost is added together for the inventory's value. Average Cost: The weighted average of the costs for a period to determine value. FIFO Cost: First In First Out. In this method value is measured using the latest costs of goods while working towards the beginning of the period until all goods in inventory are valued. LIFO Cost: Last In First Out. In this method the co sts of gods at the beginning of the period are used to determine the inventory's value much like FIFO. What are the important consideratio c onsiderations ns in inventory control? For inventory control to work at its best a store must consider the costs of acquisition, carrying, ordering, and stock-out. The store must also look at its reordering system, its budgeting for inventory, insurance and forecasted demand. Will the changes made in a Workday calendar comes into effect after saving? No. The changes made into a Workday calendar will come into effect only after Building the Calendar. How different weekly offs can be assigned to different shifts without doing it manually? Suppose Monday is the Calendar Start day and we want Thursday as weekly off for 1st shift and Friday for 2nd shift, enter the ‘Workday Pattern’ for 1st as 3 On 1 Off and 3 On 0 Off. This means that Monday, Tuesday and Wednesday are working days, Thursday is off and Friday, Saturday and Sunday are again working days, for any week for 1st shift. And for 2nd shift enter the Workday Pattern as 4 on 1 off and 2 on 0 off. What is an Organization? An Organization is an inventory location with its own Set of Books, Costing Method, Workday Calendar and List of items. What is a Sub inventory? A Sub inventory is used when two physical inventory locations share the same Set of Books, Costing Method, Workday Calendar, but different list o f items. How will you that a location is available for transaction in all Organizations? While defining the Location, don’t attach an Organization to it so that the location can be used for any organization
What is the difference between Internal and External Organizations? The difference between Internal and External Organization is that we cannot assign people to an External Organization. Examples of External Organizations: Workers Compensation Insurance Carriers. Organizations that are recipients of o f third party payments from Employee’s benefits. What is an Item Master Organization? The organization in which the items are defined is called the Item Master Organization. Child Organizations (other organizations) refer to the Item Master for the item definition. There is no functional or technical difference between the Item Master Organization and other O rganizations. However, for simplicity, it is recommended to limit the item master to just for an item defining organization. Is it possible to have different costing methods for different organizations under the same Item Master Organization? Yes. Even we can have dummy organizations for using different costing method for different costing method for different items within an organization. Can we use Average Costing in an organization where WIP is also installed? No. We can’t use Average Costing if WIP is installed. What shall be the Costing Organization of an Org? If individual organization wants to have control over its own cost, we will assign the current organization itself as the Costing organization. If that is not the case, we can assign the It em Master Organization or any other organization as the costing organization. What are the Inventory material transactions interface tables. Material Transactions Interface Tables are: mtl_transactions_interface, mtl_transactions_lots_interface, mtl_serial_numbers_interface, mtl_interface_errors In which table the inventory material transactions history data is maintained after running the interface program. Material transactions data are maintained in “mtl_material_transactions” table. In which table the onhand quantities of the items exist? On-Hand quantities of the items are stored in “mtl_onhand_quantities” table. In which table the subinventories are stored? Sub inventories are stored in “mtl_secondary_inventories” table. In which table the locators are stored? Location information is stored in “mtl_item_locations” table. Reference: Collected from various web sources.
Please visit my blog for more details: http://learnoraclecsbscm.blogspot.com
