Project Setup Steps

Oracle Projects Suite • • • • • •

Oracle Project Foundation Oracle Project Costing Oracle Project Billing Oracle Project Resource Management Oracle Project Collaboration Oracle Project Management

Oracle Project Foundation 1. Set of Books a. Dynamic Inserts enabled  b. Segment Qualifier  Balancing, Cost Center, Natural 2. Organizations and BG setup a. Projects recognize Organization with HR Organization Classification  b. Project/ Task Owing Organization c. Project Expenditure/Event Organization d. Project Invoice Collection Organization e. HR: Cross Business Group Profile Option at Site Level f. Organization Hierarchies Reporting Org Hierarchies  OU  Implementation Options Project /Task Owning Org Hierarchies  OU   Implementation Options Project Expenditure/ Event Org Hierarchies  OU   Implementation Options Project Burdening Hierarchies  Business Group 3. Implementation Options 4. Calendar, Shifts and Exceptions  PRC: Generate Calendar Schedules 5. HRMS Setups a. Job Group  Job Mapping if HR Jobs are different from Project Jobs  b. Job Definition c. Employee Definition d. PA: Project Resource Job Group  Site Level Profile Option e. PRC: Maintain Project Resources 6. Job Levels and Job Codes  Lookup Codes 7. Role Definition a. Project Roles  b. Role List c. Project Organization Roles  HTML Responsibility • •

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8. Project and Organization Security a. Responsibility Based Security  b. Role/Project Based Security  By Project Status c. User Level Security for Responsibilities d. Organizational Authority e. Project Security Extension f. Security Profiles 9. Task Definition a. Task Statuses  b. Work Quantity Work Items  Lookup Codes c. Unit of Measure  Lookup Codes d. Task Types e. Task Priorities  Lookup Codes 10. Project Definition a. Project Statuses  b. Project Profile Options c. Project Classifications (Class Categories and Class Codes) d. Service Types  Lookup Codes 11. Project Customer Relationships and Contact Types a. Customer Relationships  Lookup Codes  b. Contact Types  Lookup Codes 12. Resource Lists  Assign Resource Lists to Projects when defining Project Template and Project. 13. Cycles 14. Work Types 15. Project Types 16. Implementing Project Life Cycles 17. Project Template

Oracle Project Costing 1. Licensing Oracle Project Costing  PA: Licensed to Use Project Costing 2. Expenditure Definition a. Expenditure Classifications i. Expenditure Categories ii. Revenue Categories  b. Units c. Expenditure Types d. Expenditure Type Classes e. Transaction Sources 3. Auto Accounting i. Labor Cost account When you run the  PRC: Distribute Labor Costs process, Oracle Projects calculates labor cost amounts based upon employee labor cost overrides  and labor costing rules. After calculating labor costs, Oracle Projects uses the Labor Cost Account transactions to debit an expense account for raw labor costs. ii. Labor Cost Clearing Account When you run the  PRC: Interface Labor Costs to General Ledger process, Oracle Projects credits a payroll clearing liability account to balance the labor expense account it debits when you run the PRC: Distribute Labor Costs process. The process then transfers  both the liability credits and the expense debits to the Oracle General Ledger interface tables so you can post them to the general ledger. iii. Expense Report Cost Account When you run the  PRC: Distribute Expense Reports Costs process, Oracle Projects calculates and distributes costs originating from expense reports, and uses the Expense Report Cost Account transactions to determine which expense account to debit for expense report costs. iv. Expenses Report Liability Account When you run the PRC: Interface Expense Reports to Payables process, Oracle Projects interfaces expense report costs to the Oracle Payables Invoice Import feature, and uses a transaction to credit accounts payable liability account. v. Usage Cost Account When you run the  PRC: Distribute Usage and Miscellaneous Costs process, Oracle Projects uses the Usage Cost Account transactions to debit an expense account for raw usages costs. vi. Misc. Costs Use Expenditure Type Classes with AutoAccounting to set up accounting for miscellaneous costs. vii. Burden Transactions Use Expenditure Type Classes along with AutoAccounting to set up accounting for  burden transactions.

viii. Burdened Cost Debit/Credit When you run the  PRC: Distribute Total Burdened Cost process, Oracle Projects creates two burdened cost distribution lines for the total burdened cost. One distribution line holds the burden cost debit and the other distribution line holds the burden cost credit. Oracle Projects creates these two distributions for all expenditure items charged to  projects which are defined to burden costs. ix. WIP and Inventory Costs Use Expenditure Type Classes along with AutoAccounting to set up accounting for WIP and Inventory Costs. x. Supplier Invoice Adjustments Costs When you enter project–related supplier invoices in Oracle Payables, the Oracle Payables Invoices or detail window invokes the Account Generator in real time. The Account Generator derives the Accounting Flexfield values based on project information in much the same way that AutoAccounting works in Oracle Projects processes. Oracle Projects then creates an expenditure item for each project–related supplier invoice distribution line in Oracle Payables. You can adjust the supplier invoice expenditure items in Oracle Projects to transfer or split the items. Oracle Projects processes these supplier invoice adjustments using the Supplier Invoice Cost Account AutoAccounting function. Attention: When you set up your rules to account for supplier invoice costs, ensure that the assignments and rules in AutoAccounting and Account Generator derive the same values.

4.  Non-labor Costing Definitions i.  Non-Labor Resource ii.  Non Labor Cost Rates iii.  Non-Labor Cost Rate Overrides 5. Labor Costing Definitions i. Labor Cost Multipliers ii. Labor Cost Rules iii. Rate Schedules iv. Organization Labor Costing Rules (Assigning) v. Labor Costing Overrides vi. Labor Costing Extension vii. Labor Transaction Extension viii. Implementing Overtime Processing ix. Overtime Calculation Extension 6. Capital Projects i. Implement Asset Extensions i. Asset Assignment Extension ii. Asset Cost Allocation Basis Extension iii. Asset Lines Processing Extension  PRC: Generate Asset Lines iv. Capital Event Processing Extension   PRC: Create Periodic Capital Events v. CIP Account Override Extension vi. CIP Grouping Extensions

vii. Depreciation Account Override Extension ii. Define Standard Unit Cost for Asset Cost Allocations iii. Enable Retirement Cost Processing   PA: Retirement Cost processing Enabled iv. Define Proceeds of Sale Expenditure Types  Only (and must) for Proceeds of Sale amounts does not include Cost of Removal. v. Capital Projects Transactions process a. Define Capital Project Type – Consider Project Work Type, Capitalization Tab Region  b. Define Capital Project Template c. Define Capital Project from the template d. At Transaction Controls specify which transaction are to be capitalized and at which level (Project or Task Level) e. Define an Asset at The Project level f. Assign the asset at the level specified in the Transaction Controls level. g. Interface Supplier Invoices from Payables, Build labor Costs, Usage Cost, and Expense Reports in Projects. h. Interface Supplier Invoices, Supplier Invoice Adjustments from Payables i. Distribute Labor Costs, Expense Reports Costs, Usage Costs, Misc. Costs and any Allocation of Overtime from Indirect Projects. Run the distribute costs process with specific project.  j. Distribute Total Burden Cost (important or key if specified as  burdened in Capitalized Region in Project Type) k. Run PRC: Update project Summary Accounts, l. Based on Event Processing Method in Project Type, Events are created and processed. m. Attach Asset to Event then only Cost can be assign or attached to events. n. Attach Costs to the events o. Check for the following checkboxes in Expenditure inquiry window Cost Distributed Capitalized Grouped CIP  p. Press ‘GENERATE’ button for PRC: Generate Asset Lines in Capital Events window or Capital projects window. q. Parameter for the PRC: Generate Asset Lines the PA through Date must be the end date of the PA period in which actual place in service of assets is specified in the Asset Definition. r. Actual Asset place in service must be prior or current period of reporting period. s. GL Period and PA period must be same as the PA reporting  period. t. Transfer/Interface all costs from projects to General Ledger u.  Now Interface Assets to Oracle Assets using ‘PRC: Interface Assets to Oracle Assets’ v. In Assets Responsibility  Prepare Mass Additions, Post Mass Addition 7. Capitalized Interest • • •

i. ii. iii. iv. v. 8.

Capitalized Interest Rate Names Capitalized Interest Rate Schedules Specifying Capitalized Interest Rate Schedules for Project types Setting project Status Controls for Capitalized Interest Capitalized Interest Extension

Allocations i. Allocations i. Allocation Rule ii. Sources iii. Targets iv. Basis v. Full/ Incremental Allocation ii. Auto Allocation

9. Burden Costing Definitions i. View Burden Costs ii. Cost Bases and Cost Base Types i. Cost bases refer to the bases of raw costs used for applying burden costs. ii. Cost base types refer to the use of cost bases. Oracle Projects  predefines the cost base types Burden Cost and Other . iii. Burden Cost Codes i. Burden cost codes represent the types of costs that you want to allocate to raw costs. iv. Burden Structures i. Burden structures group cost bases for a given use, and specify what types of raw costs are included in each cost base, and what burden costs are applied to the raw costs in each cost base. ii. PA: Default Burden Schedule Type iii. Burden Schedules iv. Burden Costing Extension v. Allowing Incremental Accounting for Burden Schedule Revisions 10. Setting Up Cross Charge Processing: Borrowed and Lent i. Define Transfer Price Rules ii. Define Transfer price Schedules iii. Define Cross Charge Implementations Options iv. Define Provider and Receiver Controls v. Define Auto Accounting Rules for Borrowed and Lent Transactions vi. Implement Cross Charge Extensions 11. Setting Up for Cross Charge Processing: Intercompany Billing i. Global Setup i. Define Transfer Price Rules ii. Define Transfer price Schedules iii. Define additional expenditure types, agreement types, billing cycles, invoice formats, and supplier types iv. Define a Internal Supplier v. Define a Internal Customer ii. Operating Unit Setup i. Define Supplier Sites for Internal Supplier (Receiver) ii. Define Ship to Bill to Sites for Internal Customer (Provider) iii. Define Internal Billing Implementation Options

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Define Internal Tax Code Options for Receivables Invoice. Define internal tax codes for Payables invoices (receiver) Define an agreement for Inter Company billing projects Define additional expenditure types, agreement types, billing cycles, invoice formats, and supplier types Transactions i. Define Inter Company Project Type and Project Template ii. Define Inter Company Billing Projects iii. Defining the Supplier Invoice Charge Account Process for Internal Invoicing iv. Implementing the Payables Open Interface Workflow v. Defining Auto Accounting for Inter Company Billing Transactions : Inter company Revenue Account , Inter Company Invoice Accounts vi. Defining Auto Accounting Rules for provider Cost Classifications vii. Define Invoice Rounding Account for Inter Company Transactions viii.Implementing Cross Charge Extensions

12. Shared Setup Details for Cross Charge Processing i. Define Additional Expenditure Types, Agreement Types, Billing Cycles, Invoice Formats, and Supplier Types for Cross Charge Processing ii. Define Transaction Sources for Cross Charge Processing iii. Define an Internal Supplier iv. Defining an Internal Customer v. Define Internal Billing Implementations Options vi. Defining Tax Account Codes for Internal Receivables Invoices vii. Defining Tax Account Codes for Internal Payables Invoices viii. Customizing the Payables Open Interface Workflow ix. Modifying the Supplier Invoice Charge Account process x. Defining Transfer Price Rules xi. Defining Transfer Price Schedules xii. Defining Provider and Receiver Controls 13. Oracle Payables and Purchasing Integration i. Install and Implement Oracle Payables and Oracle Purchasing ii. Profile Options for Project Related Invoices and Documents a. PA: Allow Override of PA Distributions in AP/PO  b. PA: Default Expenditure Organization in AP/PO c. PA: Expenditures Per Set d. PA: Expense Report Invoices Per Set e. PA: Summarize Expense Report Lines f. PA: Transfer DFF with AP iii. Setting the Discount Interface Start Date  PA: AP Discount Interface Start Date iv. Define Supplier Invoice Account Generator v. Defining a Project–Related Purchasing Transactions Account Generator vi. Defining Project–Related Distribution Sets vii. Defining Payables Descriptive Flexfields 14. Implementing Oracle Inventory for Oracle Projects Integration with Inventory without Project Manufacturing i. Enable Project Cost Collection.

  Integrating

Projects

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Create a Project–Enabled Transaction Type Set the INV: Project Miscellaneous Transaction Expenditure Type Profile Option. Create an Inventory Expenditure Type.

Oracle Project Billing 1. Licensing Oracle Project Billing  PA: Licensed to use Project Billing 2. Revenue and Invoicing i. Defining Receivables System Options  Purge Interface Tables  Require Sales Rep Option ii. Applying Tax to Project Invoices  Tax Defaults: Implementation options  Tax Method: Receivables System Options  Review Oracle Receivables Transaction Types  Tax Calculation  Tax Setups in Projects iii. Processing Taxable Invoice Lines  Generate an Invoice  Review Invoice Line Tax Information  Interface Invoices to Oracle Receivables  Report and View Tax Information iv. Payment Terms v. Defining Bill Rate Schedules vi. Invoice Formats vii. Credit Types  Lookup Types viii. Event Types  Automatic  Deferred Revenue  Invoice Reduction  Manual  Schedule Payment  Write-On  Write –Offs  Realized Gains  Realized Loses ix. Agreements and Funding  Agreement Template  Agreement x. 3. Contract Projects i. Overview of Contracts Projects a. Time and Materials  b. Fixed Price c. Cost Plus ii. Entering a Contract Project a. Enter a Project and Tasks  b. Enter an Agreement c. Fund the Contract project d. Enter and Baseline a draft revenue budget for the contract project e. Optionally, perform Adjustments f. Distribute costs and generate invoices and revenue. iii. Billing Methods

Cost/Cost

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Accrues revenue and bills using the ratio of actual cost to  budgeted cost (percent complete) Cost/Event Accrues revenue using the ratio of actual cost to budgeted cost (percent complete) and bills based on events Cost/Work Accrues revenue using the ratio of actual cost to budgeted cost (percent complete) and bills as work occurs Event/Event Accrues revenue and bills based on events Event/Work Accrues revenue based on events and bills as work occurs Work/Event Accrues revenue as work occurs and bills based on events Work/Work Accrues revenue and bills as work occurs Rates and Assigning Bill Rates Integration with Oracle Project Contracts Oracle Project Billing integrates with Oracle Project Contracts to create delivery based billing events that drive billing based on completed deliverables in the Deliverable Tracking System. a. Delivery Based Billing Events  b. Subproject Association Agreements and Funding