Oracle Learning Management (OLM) manages the financial relationships of an enterprise with external or internal customers using the following key concepts:
A finance header holds generic financial information about the dealings you have with a particular customer or supplier. Each individual transaction with a customer or supplier is a finance line.
A price list is a catalog of courses and the prices at which they are available between certain dates.
For internal classes, OLM can charge a learner's cost center when the learner enrolls in an OLM class.
You can use multiple currencies to hold price and cost information. For example, you can schedule a class in US Dollars and create headers in other currencies for resource payments.
Your system administrator can establish financial security to permit users only of certain responsibilities to update and delete prices. Otherwise, all users can update and delete prices.
We recommend that you use OLM's integration with Oracle Order Management to handle your for-profit learning management.
You can transfer the finance headers and lines to Receivables and Payables or to another financial application, to manage the collections and expenditures efficiently.
When used in conjunction with General Ledger, OLM can effectively manage the financial details, such as charges for resources or learner attendance, that define the cost-transfer of funds related to the classes.
OLM finance and pricing uses these additional key concepts:
OLM enables you to hold and manage price lists and use several types of financial header to specify your financial relationships with external or internal customers. You can also use multiple currencies to hold price and cost information.
To facilitate invoicing, OLM provides four types of finance header:
Payable, for supplier payments
Cost transfer, for manual or automatic cross-charging
Cancellation, for superseding previously transferred headers
Receivable, for standard invoices
Important: For-profit training organizations should use the Order Management integration rather than the Receivable header, as this header requires a customized interface.
Yes, you can create finance headers for different currencies per customer or supplier. For example, you can schedule a class in one currency, but create finance headers for specific suppliers in other currencies to pay for the resources.
You can automatically transfer the cost of class enrollments or resources between organizations, departments, or cost centers within an enterprise. When you establish automatic cross-charging, the application uses the standard price of a class.
For internal classes, use the standard financial functions of OLM. If you are an independent training vendor who has installed Order Management (OM), however, you should use OM to handle your external class inventory, pricing, and invoicing.
A finance header holds generic financial information about your dealings with a particular customer, supplier, or internal cost center. This information can contain the customer name, contact information, address, and the payment currency. In OLM, you enter each individual transaction with a customer or supplier as a finance line (unless you are using the Order Management integration).
When you transfer the finance header and lines to your financial application, the finance lines appear on the printed sales or purchase invoice, one item per line.
See: Cost Transfer Finance Headers
See: Creating a Finance Header
You must create a finance header of the appropriate type for each supplier or customer. The application delivers four predefined types of finance line, but you can also create your own.
The four predefined types of finance header are:
Payable - for resource charge finance lines
Receivable - (superseded by the Order Management integration)
Cost Transfer - for transferring the cost of training fees or resources between organizations, departments, or cost centers within your enterprise
Cross-charging for resources is beneficial if you operate a business in which cost centers within your enterprise or other organizations, rather than external suppliers, provide resources.
Cancellation - for superseding a previous header that the application has transferred to your financial system and that cannot be updated
The three predefined types of finance line are:
Enrollment Charge--an amount receivable from a customer or internal learner for attending a class
Prepurchase Charge--(superseded by the OM/Inventory integration)
Resource Charge--a charge for resource usage under a cross-charge (cost transfer) header
Supplier Payment--an amount payable to a supplier in exchange for resources
You can also define your own finance line types, as values for the Lookup Type FINANCE_LINE_TYPE. For example, you can define types for accommodation charges or other resource costs you are passing on to a customer.
Note: The only type of finance line that you can associate with an enrollment is an Enrollment Charge.
OLM automatically creates a finance line when you select a finance header while enrolling a learner or booking a resource, or when an internal learner enrolls in a class (and you have enabled automatic cross-charging).
You can, however, create a finance line manually.
Your system administrator can use the financial security of the enterprise to enable users of a certain responsibility to update and delete the following prices:
Monetary
Standard
If your enterprise has not set up financial security, all users can update and delete prices.
From the Cost Transfer Finance Headers page, you can create Cost Transfer finance headers, cancel and recreate new headers, restore cancelled headers and create and manage finance lines for a header.
You create a finance header of type Cost Transfer when you need to transfer the cost of training fees or resources between organizations, departments, or cost centers within your enterprise. When creating a Cost Transfer finance header:
In the From Ledger field, enter a ledger and then fill out the accounting flexfield segments to specify the Transfer From account.
In the To Ledger field, enter a ledger and then fill out the accounting flexfield segments to specify the Transfer To account.
Use the Finance Lines link on the Cost Transfer Finance Headers page to create finance lines for a Cost Transfer finance header. Specify a Line Type, the amount to transfer, and the Transfer Status, which indicates whether or not to process the transfer. The application, however, does not process finance lines within a finance header whose status is Do Not Interface, irrespective of their individual transfer status.
OLM can create finance headers for different currencies per customer or supplier. For example, you can schedule a class in US Dollars, but create finance headers for specific suppliers in other currencies (such as UK Sterling and Turkish Lire) to pay for the resources.
You cannot, however, create finance headers in other currencies to pay for learner enrollments. If you schedule a class in UK Sterling, you must create finance headers for the class in UK Sterling too.
You can also integrate OLM with Oracle Receivables and Oracle Payables, or another financial system, but your implementation team must create a process to transfer finance headers and lines to your financial system.
Important: We recommend that for-profit training organizations use the integration with Oracle Order Management, which includes built-in integration with Advanced Pricing, Inventory, Payables, and Receivables.
New headers receive a default status of Not For Transfer. To transfer a header, authorize and change its status to Awaiting Transfer. Running the transfer process transfers all headers with this status and updates them to the status Successful Transfer or Unsuccessful Transfer.
The other information the transfer process can return to OLM includes:
External reference
Date
Message
Paid flag
You can also set up other fields of information using the descriptive flexfield.
If you have set up cross-charge accounting, under many circumstances OLM automatically transfers finance headers of the type Cost Transfer.
See Setting Up Cross-Charge Accounting
To transfer headers that contain internal resource cost transfers, the header must satisfy several general conditions:
The header type must be Cost Transfer.
The header transfer status must be Awaiting Transfer.
The header value must be Authorized.
It must contain at least one uncancelled line.
Finance headers for enrollments must also meet the following conditions:
For synchronous offline classes, the enrollment status must be Attended or Cancelled.
For online classes, the Enrollment status must be Placed, Cancelled, or Attended, and the learner must have attempted or played the class.
Finance headers for resource bookings must also meet the following conditions:
The resource booking status must be Confirmed.
The resource must be internal (cannot belong to an external supplier).
The corresponding resource booking date must be today or before.
The resource booking period must have ended.
Do not switch the header status to Awaiting Transfer until all its finance lines fulfill the necessary conditions.
OLM enables you to prevent further processing of finance headers.
You can prevent processing of finance headers to create financial records for 'correcting' agreement balances, or to record alternative financial transactions initiated in other applications (corrections to journal entries for cost-transfers, for example).
To prevent transfer, change the status to Not For Transfer when you enter a new header. This prevents any further processing by any financial interfaces, such as accounts receivable, accounts payable, or general ledger applications. The application does not process finance lines within a finance header of the status of Not For Transfer irrespective of their individual statuses.
After the application successfully transfers a header, you cannot make any changes to it or to the finance lines that belong to it. However, you can cancel a finance header or individual finance lines. This causes the application to create a new finance header of type Cancellation, which supersedes the original header. You can then create a new finance header and lines showing the correct information.
Alternatively, you can record these changes in your financial application.
Important: Use the Cost Transfer Finance Headers page to create a Cost Transfer finance header. To create finance headers of the type Payable, Receivable, or Cancellation, use the Finance Headers window.
You can open the Finance Header window from the menu or by clicking the Finance Header button in one of the following windows:
Enrollment Details: to create a receivable header for an enrollment (use Order Management integration instead)
Resource Booking: to create a payable header to the supplier of a resource
Customer for Restricted Class: to create a receivable header for a customer learner associated with a restricted class that is priced on a Per Customer basis.
The Finance Header Window
If you open the Finance Headers window using the menu, the window displays buttons that enable you to cancel headers, reinstate cancelled headers, and enter new finance lines for the header.
If you open the Finance Headers window from another window, these buttons do not appear. Within the context of entering an enrollment or resource booking, you can only select an existing header or enter a new header. The application automatically creates a finance line for this header.
To create a finance header
In the Raised By field, select the organization responsible for the header.
Select the header type: Payable, Receivable, or Cancellation.
Receivables and Payables
For a Payable Header, select Payable.
For a Receivable header, select Receivable and a Standard subtype.
Select the customer or supplier if the correct information does not appear by default.
Select a contact and an address.
For a Receivable header, select the appropriate payment method.
Transfer
Select the appropriate status: Awaiting Transfer if you are ready to transfer this header to your financial system (you must select the Authorized check box to assign this status), Do Not Interface to prevent further processing of the finance header, or Not For Transfer.
OLM updates the status of all finance lines that have the same status as the header.
Note: If you are creating a finance header while you are entering an enrollment in OLM (but not in self-service), the application defaults generic financial information into the Finance Header window for you. You must complete all the information before you can save your work and generate the finance line and identity number.
Save your work.
What to do Next
Enter an Enrollment: If you are manually creating a finance header while you are entering an enrollment, return to entering the enrollment.
Create Finance Lines: You can manually create the finance lines for this header .
See Creating a Finance Line Manually
Note: To manually create a finance line for a Cost Transfer finance header, select the Finance Lines link on the Cost Transfer Finance Headers page.
OLM automatically creates finance lines for you. You can, however, create a finance line manually.
To create a finance line manually
Note: To manually create a finance line for a Cost Transfer finance header, select the Finance Lines link on the Cost Transfer Finance Headers page. Use the Finance Headers window to create a finance line for finance headers of type Payable, Receivable, and Cancellation.
Enter or query the appropriate finance header in the Finance Header window.
Click Finance Lines.
Select a blank line.
Select a line type.
Click New Line.
Select one of the following to associate with this line:
An enrollment
A resource booking
Enter an amount in money.
Save your work.
To change the transfer status of a line
Select the line and select another status in the Transfer field.
Note: The application does not process finance lines within a finance header whose status is Not For Transfer, irrespective of their individual status.
You can move finance lines as a group from one header to another. You might want to do this before cancelling a header.
Note: You cannot move finance lines from a header already transferred to your financial system.
To move finance lines to a new header
Note: To move finance lines in a Cost Transfer finance header to a new header, select the finance line from the Cost Transfer Finance Headers page and use the Change Header button on the Finance Lines page.
First create the finance header to which you want to move the lines.
Query the header in the Finance Header window to which the lines currently belong.
Click Finance Lines.
Click Change Header in the Finance Lines window.
Select the header to which you want to move the lines.
Select the Move check box for each line you want to move to the new header.
Save your changes.
If you cancel a header or line that has not been transferred to your financial system, the application marks it as cancelled.
If you cancel a header that has been transferred, the application creates a new header of type Cancellation, which supersedes the header you are cancelling.
After you transfer a header, you can choose another option to cancel and recreate the header. In this case, the application creates a new header of type Cancellation and a new header based on the old header, which you can then edit.
You can also cancel individual finance lines.
To cancel a finance header
Note: To cancel a Cost Transfer finance header, select the header from the Cost Transfer Finance Headers page and use the Cancel Header button.
Query the header in the Finance Header window.
Click Cancel Invoice.
Save your changes.
OLM cancels every finance line that belongs to this header.
To cancel and replace a finance header
Note: To cancel and replace a Cost Transfer finance header, select the header from the Cost Transfer Finance Headers page and use the Cancel and Recreate button.
Query a header in the Finance Header window that has the status Successful Transfer.
Click the Cancel/Recreate button, and save.
The application creates a Cancellation header and a new header, based on the old one, to replace it.
Enter information for the new header, and save.
To cancel a finance line
Note: To cancel a finance line in a Cost Transfer finance header, select the finance line from the Cost Transfer Finance Headers page and use the Cancel button on the Finance Lines page.
Enter or query the appropriate finance header in the Finance Header window.
Click Finance Lines.
Mark the line you want to cancel and click Cancel.
Save your changes.
OLM selects the Cancelled check box for this line.
You can delete a finance header and lines if, for example, you enrolled the wrong learner in a class and created a finance header or line that you must now delete.
Before you delete a finance header, you must check if any finance lines exist. If any do exist (with the status Not for transfer), you must delete them before you can delete a header.
You cannot delete a Transferred finance line.
Note: To delete a Cost Transfer finance header, select the Delete icon on the Cost Transfer Finance Headers page.
You can delete a finance line until you have transferred it to your finance system. You must delete any existing finance lines before you can delete a header.
Do not confuse deleting headers and lines with cancelling headers and lines. For example, you delete headers and lines if you have made a mistake, but you cancel headers and lines if the class for which headers and lines exist does not run.
Note: To delete a finance line in a Cost Transfer finance header, select the finance line from the Cost Transfer Finance Headers page and use the Delete button on the Finance Lines page.
To delete a finance line
Enter or query the appropriate finance header in the Finance Header window.
Click Finance Lines.
Choose the line you want to delete and select Delete Record from the Edit menu.
Save your changes.
To delete a finance header
Query a header in the Finance Header window.
Select Delete Record from the Edit menu.
Save your changes.
You can restore a cancelled finance header or line. If the header were transferred before cancellation, thereby creating a Cancellation header, clicking the Reinstate button deletes the Cancellation header. However, if the Cancellation header has also been transferred, you cannot restore the original header.
To restore cancelled lines and headers
Note: To restore a Cost Transfer finance header, select the header from the Cost Transfer Finance Header page and select the Reinstate button. Similarly, select the Reinstate button on the Finance Lines page to restore a finance line in a Cost Transfer finance header.
Query a header in the Finance Header window.
Click Reinstate.
Save your changes.
A price list catalogs courses and the prices at which they are available between certain dates.
Important: We recommend that you use OLM's integration with Oracle Order Management and Advanced Pricing to handle your for-profit learning management.
You can set up price lists in any currency. You can quote prices per learner enrollment or arrange for establish volume discounts for customers. You can create multiple price lists to account for different suppliers or different seasons. You can easily copy information from one price list to another and change prices by a percentage.
You can define any number of price lists for a variety of purposes:
Each year or season
Different discount bands
Different suppliers
Different categories of courses
You can mark one price list per currency as the default to help administrators select a standard price when they create a class. You can also create discounts on price list entries using enrollment agreements.
A course can appear on several price lists or more than once on a single price list. For example, a course can have several entries on a price list if prices differ between dates or depend on the number of learners attending the course.
You cannot create overlapping entries for learner-based price list entries for the same course.
You can charge per learner or per customer for a number of learners to attend. The customer must be associated with the class to be eligible for a Per Customer price. You associate a customer with a class in the Customers for Restricted Classes window.
Per Customer entries must include the minimum and maximum number of learners to which the price applies. The following table offers a few examples.
| Course | Min | Max | Price | Start Date | End Date |
|---|---|---|---|---|---|
| PL*SQL Basics | 1 | 9 | 4,000 | 01-JAN-2005 | 31-DEC-2005 |
| PL*SQL Basics | 10 | 19 | 7,000 | 01-JAN-2005 | 31-DEC-2005 |
| PL*SQL Basics | 20 | 25 | 12,000 | 01-JAN-2005 | 31-DEC-2005 |
You can extend the dates a price list is effective by copying an existing price list and entering the start and end dates for the new, extended list. You can also apply a percentage change across all the price list entries.
The application calculates the dates of the entries for the new, extended price list based on:
The end dates of existing price list entries
The end dates of the course
Any price list dates you enter
Today's date
By calculating the dates in this way, the application ensures that the entries for the new price always extend to the correct dates.
Price List 1 is effective for the period 01-JAN-2005 to 31-DEC-2005, and today's date is 01-SEP-2005. Enterprise Z wants to extend Price List 1 to 31-DEC-2006, starting from 01-JAN-2006. They also want to increase the prices by 10 percent.
The course to which the price list entries apply is effective from 01-JAN-2005 onwards.
| Price List or Entry | Start Date | End Date | Price |
|---|---|---|---|
| Price List 1 | 01-JAN-2005 | 31-DEC-2005 | N/A |
| Entry 1 | 01-JAN-2005 | 30-JUN-2005 | 200.00 |
| Entry 2 | 01-JUL-2005 | 31-AUG-2005 | 100.00 |
| Entry 3 | 01-SEP-2005 | 31-DEC-2005 | 150.50 |
In this example, Enterprise Z copies Price List 1 to create the new, extended Price List 2, with the following entry:
| Price List or Entry | Start Date | End Date | Price |
|---|---|---|---|
| Price List 2 | 01-JAN-2006 | 31-DEC-2006 | N/A |
| Entry 3 | 01-JAN-2006 | 31-DEC-2006 | 165.50 |
Notice that only entry 3 appears on Price List 2. Entries 1 and 2 do not appear because they were manually terminated to end on 30-JUN-2005 and 31-AUG-2005 respectively (and today's date is 01-SEP-2005). Price List 1 ran to 31-DEC-2005 (and is still open). The application extended the only eligible entry 3 (it ended only because the price list ended), while the other two entries had already ended.
Price List 1 is effective for the period 01-JAN-2005 to 31-DEC-2005. Enterprise Z wants to extend Price List 1 to 31-DEC-2006, starting from 01-JAN-2006. They also want to increase the prices by 15 percent.
The course to which the price list entries apply is effective from 01-JAN-2005 to 31-JUL-2005. as described in the table.
| Price List or Entry | Start Date | End Date | Price |
|---|---|---|---|
| Price List 1 | 01-JAN-2005 | 31-DEC-2005 | N/A |
| Entry 1 | 01-JAN-2005 | 30-JUN-2005 | 200.00 |
| Entry 2 | 01-JUL-2005 | 31-AUG-2005 | 100.00 |
| Entry 3 | 01-SEP-2005 | 31-DEC-2005 | 150.50 |
Enterprise Z then copies Price List 1 to create the new, extended Price List 3, with the following entry as described in the table:
| Price List or Entry | Start Date | End Date | Price |
|---|---|---|---|
| Price List 3 | 01-JAN-2006 | 31-DEC-2006 | N/A |
| Entry 3 | 01-JAN-2006 | 31-JUL-2006 | 172.50 |
Notice that Entry 3 appears on Price List 3 but ends on 31-JUL-2006, because the course on which the price list is based ends on 31-JUL-2006. Entries 1 and 2 still do not appear on the new price list.
You can price customer-restricted classes per learner or per customer:
If the class is priced per learner or has no charge, you select valid customers in the Customers for Restricted Classes window, then you enter enrollments for these customers in the Enrollment Details window.
If the class is priced per customer, you select valid customers in the Customers for Restricted Classes window and you also use this window to enter enrollment information (such as contacts and pricing).
You block-book the number of places a customer requires for a customer-based class. These enrollments are anonymous; that is, they do not mention learner names. To keep your learner enrollment records up-to-date, you can also enter enrollments naming particular learners in the Enrollment Details window.
If the class price basis is Customer-based, you must charge for the block-booking using the Customers for Restricted Class window--you cannot charge for these individual learner enrollments in the Enrollment Details window.
Use the Price Lists window to create a price list for your courses.
To create a price list
Enter a unique name for the price list.
Select a currency for the prices.
Select the Default check box to set the prices on this list to appear as the default standard price for classes.
Note: You can use only one default price list for each currency.
Enter a start and end date to define when the price list is effective.
Display the Learner region to make entries priced on a per-learner basis.
Select the course, enter the price, and enter a start date. The start and end dates of an entry must be within the start and end dates of the price list.
Display the Customer region to make entries priced on a per-customer basis.
Select the course, and enter the price and the range of learner numbers to which it applies. Enter a start date for the entry.
Save your work.
Use the Copy Price List and Change Dates and Prices window to copy an existing price list and enter the start and end dates for a new, extended price list.
To extend a price list
Query the price list to extend and click Copy List.
Enter the name of the new, extended price list.
Enter the start and end date of the new list. The start date of each entry changes in line with the change for the list.
Enter the percentage to increase the prices on the new list (the amount must be between 0 and 100).
Select the direction in which the new prices are to be rounded, and the unit to which they are to be rounded.
For example, if the prices are in US dollars and you want to round the new prices up to the nearest 10 cents, select Up and enter 0.1 in the Nearest To field.
Click Copy List and the application creates the new price list for you.
After you have saved a price list, you cannot edit the Start and End Date fields directly. Use the Change Price List Dates window instead.
To change the price list dates
Query the price list in the Price List window.
Click Change Dates.
Enter the new start and/or end dates.
Select the Alter Entry Dates check box to allow changes to the dates of price list entries.
Choose Change Dates. The application applies and saves your work.
Alter Entry Dates
If you do not select the Alter Entry Dates check box, the start and end dates of the price list entries remain unchanged. You cannot make any change to the price list dates that would invalidate the dates of entries on the price list.
If you do select the Alter Entry Dates check box, the dates of the entries on the price list change according to these rules:
If you make the new start date earlier, any entries that started on the old start date take the new start date. Other entries are unchanged.
If you make the new start date later, any entries that start before the new start date start on this new date. Other entries are unchanged.
If you make the new end date later, any entries that ended on the old end date take the new end date. Other entries are unchanged.
If you make the new end date earlier, any entries that end after the new date now end on this new date. Other entries are unchanged.
You can change the prices for entries within a price list. You change the price by copying some or all of the existing entries and giving them a new start date and new prices.
The application calculates the dates of the entries based on
The end dates of existing entries
The end dates of the course
Any price dates you enter
Today's date
You have a Management Training price list containing entries for the current year. You now want to make entries for next year so you can take advance enrollments. Using the Change Prices facility, you can copy all the existing entries, or all entries with a start date on or after a date you specify. At the same time you can enter a new start date for the entries and the percentage by which to change the prices.
For all the entries you copy, the application enters a course end date (if present), or the day before the start date of the new entries.
Use the Change Prices window to change prices for entries within a price list.
To change prices for entries within a price list
Query the price list on which you want to change prices.
Select Change Prices.
Enter the effective date for the new entries. You can also enter a new end date. If you leave the end date blank, the new entries have the same end date as the price list.
To copy entries starting after a given date, select Entries Starting From and enter the start date.
To copy all entries, select All Entries.
Enter the percentage (between 0 and 100) to increase the prices of the new entries by that percentage.
Select a direction and unit for rounding the new prices. For example, if the prices are in US dollars and you want to round the new prices up to the nearest 10 cents, select Up and enter 0.1 in the Nearest To field.
Select Change. The application applies and saves your work.
This report shows the profitability of classes your enterprise runs, presenting the total cost and the total revenue for each class.
You can view the cost and revenue information for an individual class or for a group of classes. You can group classes by:
Catalog Category (formerly Activity Type)
Course
Class
Program
Important: Classes created as Program Only in releases prior to OTA I will not be displayed on the Administrator Catalog or Learner HTML pages.
You can choose to see either summary or more detailed information, including:
Cost:
The resources used for each class
The resource booking statuses
Currency codes
Revenue:
Learner names (internal and external)
Transfer statuses
Currency codes
You run this report in the Submit Request window.
You can choose a display currency that differs from your normal working currencies. The report displays a total in your display currency even if the total is made up of a series of different currencies.
To run the Budget and Cost Breakdown report
Select the report name in the Request Name field.
The Parameters window opens.
Select one of the following values to produce the report:
Catalog Category--if you select a catalog category, you do not have to select a course title; the application lists all courses for the category.
Course--if you select a course you do not have to select a class title; the application lists all classes for the course.
Class Title
Leave these fields blank to see all courses and classes in the report.
Select the status of any finance headers transferred to your accounting application. Leave this field blank to see finance headers of all statuses.
Select the resource booking statuses (such as Planned) to include in the report. Leave this field blank to see resource bookings of all statuses.
Select a currency to restrict the report to learner enrollments for that particular currency. If you do not select a currency then the report includes enrollments for all currencies.
Select the learner display currency.
Select a currency to restrict the report to resource bookings for that particular currency. If you do not select a currency then the report includes bookings for all currencies.
Select the resource display currency.
Select Yes to include summary only information in the Summary Display Mode field, or select No to include detailed information.
Enter start and end dates to report on classes within that range.
Select Yes to include all learner enrollments for which payment has been made, or No to include learner enrollments that have not been paid.
Enter the standard price of the classes you want to include in the report. The report lists all classes with standard amounts up to and including the price you enter. Leave this field blank to view all prices.
Click Submit Request.