1. PeopleSoft Enterprise Inventory Management
8.9 and 9.0 Enhancements
Oracle Confidential

2. 8.9 Inventory Enhancements
Fulfillment Enhancements
Pegging
Vendor Managed Inventory
Asset Lifecycle Management Interface
Other Miscellaneous Enhancements
Oracle Confidential

3. Inventory Management 8.9 Pain Points/Key Issues Fulfillment
Rigid “Step by Step” Processing
Batch vs. On-Line
Multiple Steps for Single Function
Shortage Backorder Handling
Rigid Backorder / Cancel Handling in Reservations
Multiple Demand Lines Due to Repeated Backordering
Technical Issues
Multiple Demand Tables
COBOL
Fulfillment
Why are we doing this?
Oracle Confidential

4. Inventory Management 8.9 Fulfillment Fulfillment Architecture:
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Fulfillment Architecture:
Data Model/Table Changes
State Processing
Technology Changes
Cobol  AE
Oracle Confidential

5. Inventory 8.9 Fulfillment
8.8 Fulfillment Tables and States
Order Entry
Reserve/ Promise Material
Allocate/ Pick/ Out to WMS
Picking Feedback
Confirm
Shipping
Deplete
Demand_INF_INV
Demand_INV
Ship_INF_INV
States 1 3 4 5 6 2
Unfulfilled
Releasable
Shipped
Released
Picked/
Confirmed
Depleted
Order Entry sets state to unfulfilled
Reservations sets state to releasable. Order Entry sets for non-soft reserved
Pick Plan, Ship order release (WMS), Pick extract file, and allocation process set Released State
Online & Batch pick w/ confirm & ship notifications w/ confirm
Ship Issues & Background shipping request
Deplete request or added to ship request
Oracle Confidential

6. Reserve/ Promise Material Allocate/ Pick/ Out to WMS
Inventory 8.9 Fulfillment
8.9 Fulfillment Table and States
Order Entry
Reserve/ Promise Material
Allocate/ Pick/ Out to WMS
Picking Feedback
Confirm
Shipping
Deplete
IN_Demand
States 1 3 4 5 6 2
Unfulfilled
Releasable
Shipped
Released
Picked/
Confirmed
Depleted
Order Entry sets state to unfulfilled
Reservations sets state to releasable. Order Entry sets for non-soft reserved
Pick Plan, Ship order release (WMS), Pick extract file, and allocation process set Released State
Online & Batch pick w/ confirm & ship notifications w/ confirm
Ship Issues & Background shipping request
Deplete request or added to ship request
Oracle Confidential

7. Inventory Management 8.9 Fulfillment Architecture MSR
Shortages & Backorders
Reservations
Picking & Shipping
Direct processing
No need to run prerequisite processes
Reserve
Release Orders (Run Pick Plan)
Pick & Ship
Auto processing
“Unit of work” passed to next step only if it passes rules of previous step
Auto Reserve
Auto Release
Auto Pick/Confirm
Auto Ship
Auto Deplete
Oracle Confidential

8. Inventory Management 8.9 Fulfillment Material Stock Request
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Material Stock Request
Reaction to data model changes
Created to any “state”
Ex. Create MSR and a pick ticket will print
Ex. Create MSR and get feedback whether it was reserved or not online
Reservations not required for non-soft reserved orders
Use of new reservations rules from MSR
Default ordering UOM can be used
Oracle Confidential

9. Inventory Management 8.9 Shortages & Backorders Fulfillment
User established backorder rules
Notification of shortages and backorders
Manual backorder capability
Separate Order Release and Shipping backorder rules
Ability to push shortages downstream
Shortage workbench
Visibility of shortages and backorders on pick plan and shipping docs
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

10. Inventory Management 8.9 Backorder Rules Fulfillment Architecture MSR
Create backorder
Backorder criteria on Cancel
Only Cancel backorder if shortage < X % or static value
Manual backorder decision
Hold line and notify user or role
Allow shortage
Do not create a backorder at Release time allow shortage to flow downstream
Notification ability – ability to notify user or role of any of the actions
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

11. Inventory Management 8.9 Shortage Workbench Fulfillment Architecture
Shortage workbench – ‘one stop shop’ for viewing and acting on shortages
Allow Item or Order level view of shortages with ability to switch between views
Actions include Create backorder, cancel backorder, ‘Steal’ from another line (Unreserve / Reserve) , Fair Share Reservations, De-Allocate, Item availability inquiry, Peg to incoming supply
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

12. Shortage Workbench
Fair Share Allocation
Oracle Confidential

13. Reservations Inventory Management 8.9 Fulfillment Reservations
Line & Order Level Reservation Rules
On-line Reservation
A new program to perform on-line reservations from order entry points
Non-soft items
Option to Skip “Unfulfilled” State going directly to “Releasable”
Release Kit Multiples
Release downstream only multiples of Kits
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

14. Reservation Rules – Line Level
Percentage and static values
“criteria met” if > 90 % of line is reserved
Date based criteria
“criteria met” if today’s date > Ship date – 2 days
Choice of dates : Ship date , Early ship date , Late ship date + or – a number of days
Multiple Rules
And/or relationships
“criteria met” if percentage > 90% and today’s date > Early ship date OR release if today’s date > Ship date + 2 days
Multiple actions
Notification , Set ‘reserve criteria met’ , ‘Do not make reservation’ (will not tie up inventory)
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

15. Reservation Rules – Order Level
Percentage Fill
Ex. “Set to releasable” when Percentage fill is greater than 90% based on lines or units.
Weight
Ex. if order weight is 90% or greater of requested weight or a static value.
Volume
Ex. if order volume is 90% or greater of requested volume or a static value.
Multiple Rules
And/or relationships
“Set to releasable” if order volume > 90% of requested volume OR order weight is >90% of unit weight AND percentage fill is greater than 75%.
Multiple Actions
Notify and/or “Set to releasable” when criteria is met
Fulfillment
Architecture
MSR
Shortages & Backorders
Reservations
Picking & Shipping
Oracle Confidential

16. Inventory Management 8.9 Picking and Shipping Fulfillment Architecture
MSR
Reservations
Shortages & Backorders
Picking & Shipping
Picking and Shipping
New Order Release Process: Separated allocations processing from Pick Plan Print
Option to assign Pick Plan ID at breaks in sort keys (Example, each new order gets a new Pick Plan ID)
Show shortages and backorders on pick plan
Override picking rules at order release time
Rewrite Picking Feedback and Confirmations COBOL
Ship & Deplete from Picking Feedback Page
Many enhancements to Background Shipping Process
Oracle Confidential

17. Inventory Management 8.9 What is Pegging… Pegging
…The linking of demand and supply with a specific date and quantity
Oracle Confidential

18. Inventory Management 8.9 Pegging Demand Side Supply Side
Sales Order- Alternate Sources of Supply
MSR, Inter-Unit Transfer Requests
Putaway - Automatic reservation and optional hard allocation at putaway time
Fulfillment - Picking looks at pegging location
Supply Side
Peg from Requisition, PO, and PID
Pegging info on expected receipts report
Visibility on receiving and MFG functions
Pegging Workbench
Manual pegging of demand and supply
Pegging Inquiry
Can be called from Demand/Supply functions
Reports
Exception report - dates,QOH,etc…
Oracle Confidential

19. Inventory Management 8.9 Definitions VMI Definitions Foundation
Processing
Definitions
Supplier Managed: Consigned
Material in your warehouse, owned by your supplier (8.0)
Vendor Managed: Consigned
Material at your customer, owned by you, managed by you
Vendor Managed: Non-Consigned
Material at your customer, owned by the customer, managed by you
Oracle Confidential

20. Inventory Replenishment
VMI- Customer-Owned
Customer
Site
Inventory Replenishment
Customer
Site
PSFT
Order Mgmt
PSFT
Billing
PSFT
A/R
PSFT
G/L
Customer
Site
For Vendor Managed Inventory, we have planned a mechanism where you can elect to have the inventory at a remote location that is either owned by the manufacturer or by the customer. In this example we have the process whereby the customer has purchased the inventory but the manufacturer or distributor is managing the stocking levels at the customer’s location.
We are designating each customer site where you wish to manage inventory as a sort of Inventory location. This way, each customer site may have their own replenishment rules and methods of communicating with our system. Our plan is to be able to receive usage information via various formats, including Point of Sale (POS) data. This information will be fed into the Inventory Replenishment process and sales orders created based on pre-defined criteria. The orders are shipped and then billed as normal with invoices going to the Customer for the replenishment orders generated to bring their inventory levels up to the correct stocking levels.
Integration to any warehouse and shipping module is typically via our partner, and our partner for life is High Jump. We’ve been integrating to High Jump since the beginning of time. They are also our barcode solution as well.
Simultaneous with creating the sales orders for fulfillment, we are also creating PO’s and transmitting them to the Customer Sites so they will have documents against which to receive their replenished inventory. (This is optional). Invoices are generated and mailed to the customer as part of the normal business process, which could optionally automatically create the AP Voucher via our Evaluated Receipt Settlement.
Shipping

21. Inter-Unit Stock Request Inventory Replenishment
VMI- Sell-Side Consigned
Shipping
Customer
Site
Inter-Unit Stock Request
Customer
Site
Inventory Replenishment
Billing
A/R
G/L
Customer
Site
For consigned inventory in a Vendor Managed process, the inventory is owned by the Manufacturer and/or Distributor but resides at the Customer Site. As the customer consumes the inventory, consumption information is transmitted to the system (via EDI, POS data, etc), and again, with pre-defined algorithms, inventory at the customer site is decremented, a replenishment order is created and shipped to the customer via an inter-unit transfer. A “invoice only” sales order is also generated in the Billing system and the invoice for the “consumed” product is sent to the customer.
Order Management

22. Inventory Management 8.9 Foundation VMI Definitions Foundation
Processing
Foundation
New VMI BU
Storage Locations
Associated to a ship-to customer
Replenishment attributes, owned/non-owned – defaults from ship-to
Ship-to attributes:
Replenishment settings, flags, etc…
Sold-to attributes:
Replenishment grouping options, flags, etc…
Replenishment at item/ship to level
New VMI Replenishment setup page, item set up attributes, etc…

23. Inventory Management 8.9 VMI Processing Definitions Foundation
Receive item balances
POS, EDI 852, receipts, adjustments, customer information
Create Billing-Only order
Calculate VMI replenishment parameters
Create VMI replenishment request
Send Order Acknowledgement (855) when order is created & reserved
Oracle Confidential

24. Inventory Management 8.9 Asset Lifecycle Management (ALM) Interface
Allocate and Issue material to a ALM work order.
Pegging allowed on ALM Work Orders
Pick List for ALM Work Orders
Replenishment recognizes ALM demand
Oracle Confidential

25. Inventory Management 8.9 Misc. Changes GTIN ATP Cobol  AE
FAN Navigation
Replenishment
GTIN
RFID, Partner Integration
ATP Changes
Will look at planned Orders as supply source
Cobol written to AE:
Replenishment parameter calculation
Historical lead time calculation
Calculate PAR average usage
Replenishment Enhancements
Reorder qty option at item level
Include open demand within time fence
Oracle Confidential

26. 9.0 Inventory Enhancements
Kitting Enhancements
Inventory Fulfillment Changes
Asset Lifecycle Management (ALM) Interface Enhancements
Oracle Confidential

27. The following is intended to outline our general product direction
The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decision. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.
Oracle Confidential

28. Inventory 9.0 - Kitting Enhancements
Ability to order a kit on a MSR
Provide optional tools to perform kit re-explosion prior to or at Reservations
Changes to Shortage, Pegging, and Fulfillment Workbenches to support kit parent visibility
Provide parent/child visibility at picking feedback via a "Kit Display Page"
Modify Existing fulfillment inquiries to support kit parent visibility
Oracle Confidential

29. Inventory 9.0 - Fulfillment Changes
Allow the printing of shipping documents from any point in the Fulfillment process
Assignment of ship id from different points in the fulfillment process
Auto-create Bill of Lading
New Batch Reservations report
. This includes the printing of the packing list, bill of lading, shipping document and export documents.
Currently the Ship ID is assigned at shipping time. This is done in the batch shipping and in the on-line Shipping/Issues program. The ship id is needed on shipping documents so we need to be able to assign it earlier in the process. This is required in order to print the shipping docs from any point in the Fulfillment process.
. Currently the user must go into Build Bill of Lading, and then separately go into Print Bill of Lading, and this creates a bottleneck for some customers. A new run control will be created where users can build and print the BOL at the same time. This will be for basic scenarios only using the information on the demand lines being shipped.
to show what didn't get reserved didn't pass the line or order level rules etc. We do this currently with the online but not the batch. Users have no visibility as to why items were not reserved.
Oracle Confidential

30. Q
& A
Oracle Confidential