Oracle Approvals Management (AME) Case Studies for AP, PO and HR Updated September-2017

Transcription

1 Oracle Approvals Management (AME) Case Studies for AP, PO and HR Updated September-2017 Presented By Susan Behn VP, Oracle Practice

2 About the Speaker Oracle Ace Over 20 years E-Business Suite development and support Member-Oracle Proactive Support Customer Advisory Board Chair-Oracle E-Business Suite User Management SIG Chair-Texas-Louisiana Oracle User Group TLOAUG Treasurer Dallas Oracle Users Group DOUG Board Member Customizations and Extensions SIG Over 100 presentations on E-Business Suite Co-author for multiple books on E-Business Suite The ABCs of Workflow for E-Business Suite Release 11i Release 12 and The Release 12 Primer Shining a Light on the Release 12 World. 2

3 500+ Technical Experts Helping Peers Globally 3 Membership Tiers Oracle ACE Director Oracle ACE Oracle ACE Associate bit.ly/oracleaceprogram Connect: oracle-ace_ww@oracle.com Nominate yourself or someone you know: acenomination.oracle.com

4 Established in 2001 SBA 8(a) Small Business disadvantaged company GSA Schedule contract GS-35F-0680V Texas State HUB vendor For more information, check out our web site at R12.1.3, R12.2.5, OBIEE public vision instances by March, 2017 Posted presentations on functional and technical topics Copyright 2017 Infosemantics, Inc. All Rights Reserved. Any other commercial product names herein are trademark, registered trademarks or service marks of their respective owners.

5 Agenda AME Overview Setup examples AME Administrator Tasks Sample Business Case Scenarios/Testing Workbench Payables Purchase Requisitions Human Resources irecruitment Vacancy Approval Migration with FNDLOAD Other tips 5

6 What is AME? Purpose is to find approvers based on business rules AME generates the approver list AME returns the next approver to calling application Request for next approver re-generates approver list to return next approver to calling application Integrated with multiple E-Business applications such as HR, PO and AP APIs allow integration with 3rd party apps 6 6

7 AME and Approval Workflows Approval routing is controlled by AME rules via workflow Workflow sends request to AME to find approvers AME rules determine next approver and sends person_id, user_id, position_id, etc back to workflow (id based on approver type Workflow sends notification to approver identified by AME AME 7

8 Advantages of AME Reduces approval cycle time But some workflow approvals have functionality to reduce cycle time Approval Rules can be developed by business users with minimal development assistance Approver Lists leverage off existing Oracle hierarchies (e.g. HR supervisor, HR position) Approver Lists can also leverage off custom hierarchies AME responds to changes such as organization hierarchies or rule changes Alternative is workflow customization Requires significant development expertise 8

9 Planning for AME Gain support from the management team and users Plan for all corporate rules using flow charts or decision trees Provides basis for testing Improves overall logic by identifying combinations Identifies alternatives Speeds implementation process Identifies potential problems 12

10 Setups for some Transaction Types Setup requirements vary by transaction type Refer to the user guide for the application Will cover the following as examples iexpenses Payables Purchasing GL Journals HR irecruitment 13

11 iexpenses AME Setup Profile option AME: Installed must be set to Yes at the Application level for Payables to use AME for iexpenses This has no impact on approvals for payables invoices For additional details see Oracle Internet Expenses Implementation and Administration Guide section Setting Up Approval Rules For line level approvals, define Cost Center orgs and Approval Managers See MOS note

12 Payables Invoices AME Setup Setup Options Payables Options Approval Tab Check Use Invoice Approval Workflow 15

13 Payables Holds Resolution AME Setup Invoice Holds Resolution Setup Invoices Hold and Release Names For the hold type check boxes for initiate workflow and manual release allowed MOS Doc ID

14 Purchasing AME Setup Setup Purchasing Document Types Query the document Type Enter the approval transaction type for the document type to use AME. PURCHASE_REQ for Purchase Requisition Approval INTERNAL_REQ for Internal Requisition Approval Approval workflow must = workflow in AME transaction type 17

15 General Ledger AME Setup Profile Options Set AME: Installed to Yes at the Application level Set GL: Use Approval Management (AME) for journal approval to yes at the site level Optional: Set GL: Number of journal lines to display in AME journal approval notification Default is 5 See Next Two Slides Check the Enable Journal Approval check box in Accounting Setups Ledger Options Whether to use JE Approval is set per Ledger Once selected, default is Employee / Supervisor Check the Require Journal Approval check box for each journal source that should be subject to approval 18

16 General Ledger AME Setup Accounting Setups Ledger Options Check Enable Journal Approval 19

17 General Ledger AME Setup Setup Journal Sources Check the Require Journal Approval box 20

18 irecruitment Vacancy Approval AME Setup irecruitment Vacancy Approval is delivered with seeded rules If different rules are needed, create a custom transaction type for irecruitment Change the profile option IRC: Vacancy Approval Transaction Type to the new transaction type name 21

19 AME Access AME uses Oracle Role Based Access Model (RBAC) to access AME components Functional Administrator Responsibility Grant access to data (who can see what transaction type) User Management Responsibility Login in as the SYADMIN user Grant access to roles Approvals Management Business Analyst - define business cases Approvals Management Administrator - add transaction types, add approver types and view logs User Management Presentations with Details EBS User Management for Dummies Current requirements and features including Grants, Permissions, RBAC and Proxy users 22 22

20 AME Building Blocks Approver Types Configuration Variables Global defaults or per transaction type General Variables Rule Priority Modes Forwarding Behaviors Transaction Types Attributes Conditions Actions/Action Types Approver Groups Rules 23 23

21 Approvals Management Administrator Tasks 24

22 Administrator Dashboard See exception log to resolve errors, create transaction types and enable approver types Users, Employees, Positions, TCA Parties, Etc 25

23 Administrator Dashboard - Approver Types Verify approver types needed are enabled or click the button to add an approver type from the list 26

24 Configuration Variables - General Control runtime behavior Default applies to all transaction types Change for specific trans. transaction type type 27

25 Rule Priority Modes Scroll down the configuration variables page to set the rule priority mode for each rule type Options are disabled, relative or absolute For absolute or relative, enter a numeric threshold (1 is highest priority) Threshold is compared to the rule priority during run time Absolute if the evaluated priority value < rule priority mode, rule is processed Relative processes the highest number of rules = the threshold value Details on how this works is explained in MOS Id:

26 Forwarding Behaviors Scroll down the configuration variables page to set forwarding behaviors Determines how AME treats both the forwarder and forwardee when request for approval is forwarded 29

27 Forwarding Behavior Choices Ignore treats as approval Forwardee Only add forwardee to approver list Forwardee then Forwarder add both to approval list Skip Forwarder extend chain of authority starting with forwardee, but skip forwarder Repeat Forwarder extend chain of authority starting with forwardee and include forwarder Remand add to approver list all approvers between the forwardee and the forwarder including the forwarder 30

28 Transaction Types What will be approved Invoice, requisition, salary change R has 251 transaction types Custom transaction types can be created For the next few slides, query Payables Invoice Approval and click the pencil to edit 31

29 Transaction Type - Item Classes Page 2 shows levels at which approval rules can be configured 32

30 Transaction Type - Mandatory Attributes Some values can be changed 33

31 Approvals Business Analyst Tasks 34

32 Business Analyst Dashboard 35

33 Transaction Type Query transaction type, then click the setup icon to edit attributes, conditions, action types and approver groups 36

34 Attributes Variables used to build rules (e.g. invoice amount, supplier, etc.) Can be static (constant value) or dynamically retrieved at runtime (SQL query) Basic attributes seeded for all transaction types Existing attributes can be modified SUPERVISORY_NON_DEFAULT_STARTING_POINT_PERS ON_ID Update to start with a different person Create additional attributes for anything linked to transaction id for header (invoice id, requisition id) 37

35 Seeded Attributes Examples from the Payables Invoice Approval transaction type Description makes this very intuitive to utilize 38

36 Create Attribute for Sales Tax Approval Rule Attribute to return the number of sales tax lines that exist Lookup code = TAX Tax code name = SALES TAX 39

37 Conditions Represent the IF part of an approval rule Attributes are evaluated runtime This is why AME adjusts immediately to changes Result can either be true or false 40

38 Condition Types Ordinary Compare attribute to value or range Exception Same as ordinary but can only be used in List Creation Exception Rule Types List Modifier Checks for presence of specified approver The action will determine what happens when this approver is encountered Any Approver Or Final Approver 41

39 Actions/Action Types Represent the Then part of an approval rule Provide instruction to AME when an approval rule has been satisfied Determine the approvers and number of approvers Action Types are grouping of actions 42

40 Action Types Grouping of Actions 43

41 Action Types Use Existing Action Type If action type needed does not appear, click the Use Existing Action Type Button Next, choose the rule Type 44

42 Action Types Use Existing Action Type Select action type to add for the rule type Symbol denotes action types already available for use 45

43 Actions for Chain of Authority Rule type Example of Action Types and Actions for Chain of Authority Rule Type Available Action Types Actions for Absolute Job level selected type 46

44 Action Type Examples Action Type Description Example Absolute-job-level Relative-job-level ~Ascends HR supervisor hierarchy ~Based on specific job level ~Ascends HR supervisor hierarchy ~Based on job level relative to requester s job level Require approvals up to at least job level six Specific purchase types Require approvals at least four levels up Pay changes 47

45 Action Type Examples Action Type Description Example Manager-then-Final- Approver Supervisory-Level ~Ascends HR supervisor hierarchy ~Supervisor and final approver are required to approve Ascends HR supervisor hierarchy a specified number of levels Require approval up to first supervisor and level six final approver Capital with CFO approval Require approvals up to three supervisors Expenses 48

46 Action Type Examples Action Type Description Example HR-Position Approver-Group Chain-of-Authority Ascends HR position hierarchy up to a specified position ~Ascends custom approver hierarchy ~Builds chain-ofauthority type approver list Require approvals up to Accounting Manager HR approvals If transaction item is related to a project Approver groups based on project roles 49

47 Action Type Examples Action Type Description Example Final-Authority Grants final authority to an approver by ending the approval chain when target approver is reached If Approver is Susan Behn, allow final approval VP Approval Pre and Post Chain- Of-Authority Approvers are added before or after normal chain-of-authority list build for a transaction Require IT preapproval for hardware purchase Accounting and Technical 50

48 Create New Approver Group Dynamic approver groups are better than static due to maintenance requirements due to employee turnover 51

49 Dynamic Approver Group Get key members with role Project Manager for each project on invoice distributions Will return multiple project managers if more than one project referenced in lines 52

50 Voting Method Serial one-at-a-time, if order number same then AME breaks tie arbitrarily, all must approve Consensus parallel, all must approve First Responder Wins parallel, first response determines response for group Order Number notified in sequence of order number, if order number same then notified in parallel, all must approve 53

51 Rules Represent the translation of an organization business approval rule in AME Associate one or more conditions to a rule When the rule applies Select an action type to build approver list What to do when the conditions are met Can have multiple rules each yielding a different list of approvers Rules re-evaluated during each approval iteration 54

52 Rule Types List Creation Generate Chain-of-Authority Approver Lists IF INVOICE_AMOUNT > $500K, THEN REQUIRE APPROVALS UP TO 2 SUPERVISORS List-Creation Exceptions Uses one ordinary condition and one exception condition IF INVOICE_AMOUNT < 1000 AND (Exception) SUPPLIER_TYPE IS IN ( UTILITY ) THEN REQUIRE APPROVALS UP TO 1 SUPERVISORS Combination Combination of actions IF REQUESTER IS JOHN DOE, REQUIRE PRE-APPROVAL FROM TEAM LEAD, POST-APPROVAL FROM AP MANAGER 55

53 Rule Types List-Modification Used to extend or reduce final approver authority IF INVOICE_AMOUNT > 5000 AND PAYGROUP IS COMPEQUIP AND ANY APPROVER IS GERALD JONES GRANT FINAL AUTHORITY Substitution Allows an approver on approver list to be substituted for another person Alternative for vacation rules IF ANY APPROVER IS GERALD JONES, THEN SUBSTITUTE SUSAN BEHN FOR THE APPROVER Pre- and Post-List Approvers are inserted either before or after the normal chainof-authority approver list IF LINE-TYPE IS TAX, THEN REQUIRE PRE-APPROVAL FROM TAX DEPARTMENT 56

54 Testing Workbench and Business Cases 57

55 Testing Workbench 11i.AME.B provides a testing workbench to allow defined business rules to be evaluated and tested against transactions Testing workbench allows user to verify various aspects of setups Are attribute values, particularly custom attributes, retrieving values correctly? Does the invoice satisfy the appropriate rule? Is the proper approver chain being generated for the transaction based on the rule chosen? Examples will be shown in Business Cases later in this presentation 58

56 Business Case 1- Payables For project related invoices, require pre-approval from key project members in the following roles: Project Manager Require approval for project related invoices as follows: K >10K Go up supervisor hierarchy 1 level Go up supervisor hierarchy 2 levels 59

57 Business Case 1 AME Components Transaction Type = Payables Invoice Approval New Conditions SUPPLIER_INVOICE_AMOUNT >= $500 and <= $10,000 SUPPLIER_INVOICE_AMOUNT > $10,000 Actions/Action Types use existing action types not new Supervisory Level Require approvals up to the 1st, 2nd or 3rd supervisor Pre-chain-of-authority approvals pre-approval from approver groups New Dynamic Approver Groups to find employee in key role SB_PROJECT_MANAGER example on slide 48 New Rules Option 1 ***This options shown in example on following slides Combination Rule for $500 to $10,000 Combination Rule > $10,000 Option 2 Pre-Approval Rule Supervisor Rule 60

58 Business Case 1 - Conditions SUPPLIER_INVOICE_AMOUNT >= 500 and <= 10K SUPPLIER_INVOICE_AMOUNT > 10K 61

59 Business Case 1 - Actions Make sure your new approval group is available for Pre List Approver Group Rule Types Use existing actions and select pre-chain-of-authorityapprovals Approval Groups will be available as actions 62

60 Business Case 1 - Combination Rule for Project Invoices K Matched POs would already be approved Can have different rules by ledger, operating unit, etc 63

61 Business Case 1 - Combination Rule for Project Invoices > 10K Only difference is this one goes to two superiors 64

62 Business Case 1 - Test Create Invoice with a Project number Invoice Amount $6000 related to Project Susan Behn is Requester, Pat Stock is Susan s Supervisor Casey Brown is Pat Stock s supervisor Pat Stock is also Project Manager for FP201 65

63 Testing Workbench Get the ID of the transaction using Help Examine or query Click the test icon Run real transaction test Enter transaction id and click GO 66

64 Testing Workbench Scroll down to view values of all attributes Click Run Test Case to see test results 67

65 Testing Workbench Use to show details for rules and approvers View Approval Process Stages to view additional details 68

66 Testing Workbench - Expand Rule Details Rule details expanded Shows rule applied, applicable conditions met and resulting actions 69

67 Testing Workbench - Suppress Repeated Approvers Pat Stock is repeated (Supervisor and Project Manger) Repeated approvers are suppressed - Pat will only get approval request once 70

68 View Approval History from Invoice After initiation of approval After Pat Stock approves 71

69 Business Case 2 - Purchasing Requisition approvals are based on supervisor level approvals based on total requisition amount 0 to 25K 25K to 50K 50K to 100K > 100K 1 Supervisor 2 Supervisors 3 Supervisors 4 Supervisors New vehicle purchases must be approved by a director level with an approval authority job level = 5 Pre-approvals are required for some requisitions based on item category Computer PC purchases must be pre-approved by the IT manager 72

70 Business Case 2 AME Components Transaction Type = Purchase Requisition Approval Attributes None attributes used in this rule are seeded New Conditions ITEM_CATEGORY = AUTOMOTIVE.VEHICLE ITEM_CATEGORY = COMPUTER.PC REQUISTION_TOTAL Create conditions for each range Approval Groups IT Approver - approval group for IT purchases New Rules Supervisor rules based on requisition total Pre-Approval rule for computer purchases Absolute Job Level rule for vehicle purchases 73

71 Business Case 2 - Conditions Item Category Conditions Vehicle Computer Equipment Requisition Total Conditions 74

72 Business Case 2 Approval Group Approval Group for IT Purchases Try to avoid static approvers due to maintenance 75

73 Business Case 2 Rules Requisition Total Rules Rule 1 shown Create rules 2-4 similar with different ranges and action 76

74 Business Case 2 Rules Pre-Approval Rule for Computer Purchases 77

75 Business Case 2 Rules Set the Approval Authority Setup Personnel Jobs Absolute Job Level Rule for Vehicle Purchases Approval authority = absolute job level in AME 78

76 Business Case 2 Test 1 Create Requisition for New Car Category = AUTOMOTIVE.VEHICLE (need job level 5 or above approval) Amount = $45K 79

77 Business Case 2 Test 1 Susan s Supervisor is Pat Stock Pat Stock s Authority Pat Stock s Supervisor is Casey Brown Casey Brown s Authority 80

78 Business Case 2 Test 1 Vehicle Purchase Rule and second Amount Based Rule apply Repeated Supervisors are suppressed 81

79 Business Case 2 Test 2 Create Requisition for Computer Purchase Category = COMPUTER.PC (need IT pre-approval) Amount = $3K (need approval from 1 supervisor) 82

80 Business Case 2 Test 2 Computer Purchase Rule and Amount Base Rule 1 apply Mary Palmer from approver group Casey Brown(Pat Stock s supervisor) 83

81 Business Case 3 irecruitment Vacancy Approval A FYI Notification should be sent to the hiring manager when a requisition has been created on their behalf (i.e. Recruiter) Requisition is sent to the hiring manager s VP for approval If there is no VP then it should go to the Division Controller If VP approves requisition it goes to the Controller for this hiring manager If Division Controller approves it goes to the Hiring Manager s SVP which is based on the people group There may not be a SVP. If not, go to the next level If SVP approves it goes to the Hiring Manager s EVP or CFO, COO or President also identified by the people group 84

82 Business Case 3 irecruitment Vacancy Approval This example is to show how powerful AME can be if needed However, make an effort to simply approval processes before building AME rules Question the value of this level of complexity Complex logic was all be accomplished with dynamic sql approver groups SQL statements SQL statements calling packages 85

83 Business Case 3 irecruitment Vacancy Approval Custom approver groups were used to determine the various VPs and controllers The dynamic query in this case calls a package to handle the advanced logic 86

84 Business Case 3 irecruitment Vacancy Approval More dynamic approver groups These are just sql statements where a complex package was not needed 87

85 AME Setup Migration See MOS note Uses FNDLOAD Available for Attributes Conditions Approval Groups Action Type Usages Action Types Rules Rule Actions amesmatt.lct amesconk.lct amesappg.lct amesaagc.lct amesaatc.lct amesrulk.lct amesactu.lct 88

86 Tips and other issues Workflow timeout processing- MOS note It is common practice for calling applications to send a "No Response" status back to AME in the case of a timeout AME will use the Surrogate functionality (often the Supervisory hierarchy) to try and get a response before moving to the next approver as per defined rules Handle with vacation rules to avoid surrogate functionality default processing Modify workflow to handle timeouts differently for AME Timeout and last approver in chain Workflow errors No surrogate approver exists See enhancement request Bug Create an exception rule but you could end up in a loop in this case Profile option AME: Append to List option on Approvers region If set to "no, the "Append to List" option is not available 89

87 Final Approver Timeout Options When final approver times out, keep sending him the reminder notification at a specific interval, till approved This requires to configure the timeout period appropriately in the workflow delivered When final approver times out, keep waiting till the approver approves it This requires a minor change in the workflow not to timeout When final approver times out, do not update this approvers response, instead send a notification to system administrator for manual intervention This will require a minor change in the workflow to send the required notification A substitution rule can be defined in AME to substitute the final approver with a proxy approver This proxy approver can be a personal assistant or somebody in authority who reports to this final approver In this case, AME will substitute the proxy approver. 90

88 AME Operating Units and Business Groups To set up separate rules for operating units, use the attribute for Operating Unit in a condition Across Business Groups By default, ascends the chain of the business group of the transaction requestor Can change by updating the NON_DEFAULT_POSITION_STRUCTURE_ID attribute Depends on Application For example, purchase setup is in the document type which is different for each OU Ensure the profile option HR: Cross Business Group is set to Yes Supervisor's Job must exist in the OU where the requisition was created 91

89 References Oracle Support Document ( Information Center: Oracle Approvals Management (All Application Versions)) Oracle Support Document (How To Migrate AME Setups From One Instance To Another) Oracle Support Document (Master Reference For AME Based Requisition Approval In R12) Oracle Support Document (Oracle Approvals Management (AME) Frequently asked Questions (FAQ)) Oracle Support Document (R12: Purchasing PO Approval Chain Diagnostic Test) 92

90 Questions? Comments Thank You!!! Susan Behn 93