Setting Up PeopleSoft Order Management Business Units

This chapter provides an overview of the Order Management business unit definition, lists common elements, and discusses how to set up Order Management business units.

Understanding the Order Management Business Unit Definition

PeopleSoft Order Management doesn't directly post entries to general ledger ChartFields. Instead, PeopleSoft Inventory manages the account distribution for the shipping transactions that are involved with a sale, and PeopleSoft Billing handles the distribution for invoice transactions. You can elect to invoice by Order Management business unit, in which case invoice transactions are handled through Order Management business unit links to Billing business units. Or, you can choose to invoice from shipment history through Inventory business unit links to Billing business units.

In either case, distribution codes determine the accounts to debit and credit for invoice transactions and the system passes the information to PeopleSoft General Ledger by using PeopleSoft Billing and Receivables. Distribution codes are defined in PeopleSoft Billing or PeopleSoft Receivables and reflect detailed account distribution by ChartField.

Shipping Transactions

The PeopleSoft Inventory business unit always determines the ChartFields for shipping transactions. For inventory items, that is products that are stocked in a warehouse, the cost element for the item, and the distribution type determine ChartField distribution. For nonstock products, or products that are ordered directly from the vendor, the ChartFields are determined by the cost element that you define for the product that is on the Product Definition, Product Definition - Options2 page and by the distribution type that you define for the product that is on the Mark Lines for Billing Process page. Distribution types are optional.

Warning! If you are invoicing by Order Management business unit, the General Ledger business unit that is associated with the Inventory business unit must be the same as the General Ledger business unit that is linked with the Order Management business unit through the Billing business unit which is on the Order Management Definition - Order Management Setup page. If this is not the case, cost of goods sold accounting (generated by the Inventory business unit) is not accurately reflected against revenue.

Invoice Transactions

Two options exist for invoice transactions. Either invoice by:

Order Management business unit.

Associate a Billing business unit with an Order Management business unit on the Order Management Definition - Order Management Setup page.
Inventory business unit.

Associate a Billing business unit with an Inventory business unit on the Inventory Definition - Business Unit Definition page.

Warning! You must always associate a Billing business unit with Order Management business units to perform return material authorization (RMA) processing. If you enter a Billing business unit on the Inventory Definition - Business Unit Definition page and the Order Management business unit Order Management Definition - Order Management Setup page, the Inventory business unit takes precedence for invoice transactions.

Distribution Codes for Invoice Transactions

If invoicing by Order Management business unit, the system determines which distribution codes to pass to PeopleSoft Billing in the this order of priority:

When a price adjustment has distribution codes defined on the price rule.
The distribution codes that you enter manually for order schedules on the Order Schedule - Distribution page or the Revenue Distribution Accounts page for RMAs.

Note. This option is for revenue distribution only.
The distribution codes that are established on the Distribution Sets and Rules pages.

The code is determined by the distribution rule from the Order Management business unit for sales orders and RMAs.

See Establishing Distribution Rules and Sets.
The default distribution codes that you enter on the Order Management business unit Accounting and Billing page for sales orders and RMAs.

If you are invoicing by Inventory business unit, the system determines which distribution codes to pass to PeopleSoft Billing in the same sequence. But instead of using the default distribution codes that are on the Accounting and Billing page for sales orders and the RMA Defaults page for RMAs, the system uses the distribution codes that are on the Inventory Definition - Business Unit Options: Revenue and Billing Defaults page for the Inventory business unit.

Setting Up Order Management Business Units

To define Order Management business units, use the Order Management Definition component.

After you map the business structure for your organization, add Order Management business units on the Order Management Definition - Order Management Setup page. You are prompted to enter a business unit ID. You can navigate through the business unit pages by clicking the appropriate link. After defining the business unit, you can print an Order Management Business Unit Options Report showing the settings and attributes that you select.

This section discusses how to establish:

Order Management definition
Hold processing
Claimback settings
Accounting and billing
Shipping and returns
Taxes and currency
Order entry features

Pages Used to Set Up Order Management Business Units

Page Name	Object Name	Navigation	Usage
Order Management Definition - Order Management Setup	BUS_UNIT_TBL_OM1	Set Up Financials/Supply Chain, Business Unit Related, Order Management, Order Management Definition, Order Management Setup	Establish the general processing structure for an Order Management business unit, such as the link with a Billing business unit, the purchase history that is available for sales order inquiries, the defaults for pricing sales orders, and assigning a commission level.
Hold Processing	BUS_UNIT_TBL_OM2	Click the Hold Processing link on the Order Management Setup page.	Enter automatic hold parameters and hold codes for fulfillment processing.
Claimback Settings	BUS_UNIT_TBL_OM8	Click the Claimback Settings link on the Order Management Setup page.	Enter accounting information for claimbacks.
Accounting and Billing	BUS_UNIT_TBL_OM5	Click the Accounting and Billing link on the Order Management Setup page.	Enter distribution defaults, billing options, VAT, counter sale options, RMA restocking information, and rebate and penalty codes.
Shipping and Returns	BUS_UNIT_TBL_OM6	Click the Shipping and Returns link on the Order Management Setup page.	Enter business unit information relating to returned material, transportation lead time, sourcing, and export options.
Taxes and Currency	BUS_UNIT_TBL_OM7	Click the Taxes and Currency link on the Order Management Setup page.	Enter currency information, sales tax setup information that Taxware, Vertex and VAT defaults.
Order Entry Features	BUS_UNIT_TBL_OM9	Click the Order Entry Features link on the Order Management Setup page.	Enter order processing options.
Order Management Options report	RUN_OMC1000	Set Up Financials/Supply Chain, Business Unit Related, Reports, Order Management Options	Establish report request parameters to display the settings and attributes for the business unit as specified on the PeopleSoft Order Management Definition Business Unit pages, such as credit check and automatic hold processing options, and distribution defaults.

Establishing the Order Management Definition

Access the Order Management Setup page.

Default SetID

In Add mode, the field appears. The unit determines the preliminary tableset sharing setup by determining the setIDs that are assigned to each record group for the new business unit. The setID that is assigned to a record group determines which tableset is used as values for that specific business unit.

Create BU (business unit)

When you enter a new unit, click the button to establish the setID controls for the Order Management business unit.

Note. Create setIDs or business units that are five characters long. A performance degradation occurs if the setIDs or business units have fewer than five characters.

Note. You must click the Create BU button before you can select a Location Code and BI Unit (Billing business unit) on this page and enter information on the other business unit pages.

Location Code

Use to identify the location of the business unit.

BI Unit (Billing business unit)

Used to link with an Order Management business. You can create invoices by Order Management business unit or by Inventory business unit. If you also link a Billing business unit with an Inventory business unit, the Inventory business unit takes precedence. Order schedules that have been shipped, including nonstock items, are pulled into the Billing system for creation of invoices. The process of invoicing is governed by rules associated with the Billing business unit that you enter on this page. These rules determine billing frequency, billing method, and so on.

Important! If you choose to invoice by Inventory business unit, you must enter a Billing business unit on the Inventory Definition - Business Unit Definition page.

GL Unit, AR Unit, VAT Entity (General Ledger business unit), (Receivables business unit), (value-added tax entity)

Appears after a BI Unit is selected. Although Order Management may interface with PeopleSoft Billing for invoicing, it does not post to PeopleSoft Receivables or PeopleSoft General Ledger directly. Instead, the PeopleSoft Order Management system is tied to a Receivables and General Ledger business unit by virtue of the Billing business unit that is entered here. The Receivables business unit determines which receivable aging periods are included in the credit checking calculations during order entry. The General Ledger business unit determines the VAT entity.

Automatic Line Increment

In the group box, enter the number that determines the next line, schedule, and returned material authorization (RMA) line number. For example, if you want order line numbers to increment by one, enter 1 in the Order Line field.

Note. The demonstration database is delivered with the line increment set to 2.

Customer Purchase History

Purchase History (Months)

Enter the number of months of purchase history that you want accessible during order entry. This option enables you to view all previous purchases that the customer makes within a time window and select previously entered order lines to copy.

Pricing Options

Online	Selecting this option prices each schedule and line when the pricing calculator button is clicked. Select the Price Protected option on the Line Pricing Data and Schedule Pricing Data pages to prevent the order from being repriced.
Background	Selecting this option prices the order in the background instead of online. The Order Repricing process prices order lines and schedules according to the timetable that is established by using the Process Scheduler. This process also reprices lines and schedules to reflect any quantity changes or price changes that are made after the order is entered. Note. If Background is selected, the system moves the list price to the sales order by default. Price adjustments are not applied until the Order Repricing process runs.
Allow Adjustments to Buying Agreement Price	Indicate whether adjusting the buying agreement price is allowed. If the option is selected, only the list price protect flag is turned on and the buying agreement price will be used as the base for the adjustment calculation. If the option is not selected, the list price and price protect flags will be turned on and the price cannot be adjusted.
Price Adjustment Reason	Select to default a reason code when adjusting the price on the order or quote. This option is useful if you are using margin adjustments and frequently changing prices on the sales order.

Period-to-Date Pricing

Period-To-Date Price Calendar

Select a calendar if you're using period-to-date price adjustments. Calendars are established on the Sales Calendar page.

After the Order Management business unit is created by clicking the Create BU button, any subsequent saves check to see if PeopleSoft Promotions Management is installed and this field is blank. If these two conditions are met, the system prompts you to see if you want to use period-to-pricing and have the Calendar Id field appear by default from Promotions Management. If you choose yes, the system retrieves the Calendar ID that is defined by Promotions Management. Calendar IDs are established on the Sales Calendar page in PeopleSoft Promotions Management. If you select No, the field remains blank.

Commissions Level

Select to determine whether commissions are tracked and, if they are, at which level, either header or schedule. This value serves as the default on orders and quotes during order entry.

See Also

Order Processing in a VAT Environment

Structuring Commissions

Establishing Hold Processing

Access the Hold Processing page.

Process Option

Select a processing option from the available options.

Online: Orders are placed on hold as they are entered when a hold condition exists.

Background: Running the Automatic Hold Check Process (OM_HOLD) applies holds.

None: No hold processing is performed.

Important! A blank field is equivalent to no hold.

Hold Reason Code

Select the default reason code for the business unit to use when placing a hold. Establish the codes on the Reason Code page.

Select a default reason code for the hold. Values are:

Cust Apply (Manually apply customer hold.)

Cust Rel (Manually release customer hold.)

Prod Apply (Manually apply product line schedule hold.)

Prod Rel (Manually release product line schedule hold.)

System (Holds processed by the system.)

Financial Sanctions Screening

Select to process Financial Sanctions Screening (FSS). Financial sanctions screening is defined at the Installation level on the Financial Sanctions Options page where you determine if you are going to perform financial sanctions screening at the install level or business unit level. Financial sanctions screening validates customer information with a variety of national and security lists. Hold codes can be established for the order or customer.

Credit Checks

Online Sales Orders

Select an option to check credit during online entry.

Sales Order Entry: Credit is checked every time the order is saved. The system warns you immediately when the order exceeds the credit limit.

Customer ID Entry: Credit is checked only when you enter the customer ID for the order.

Note. If you enter the orders in pending status, credit is not reevaluated when you change the status to open if you are using the customer entry option. You must run Automatic Credit Check (OM_CREDIT). If you are using the sales order entry option and change the status to open, credit checking is done when the order is saved.

Note. Online credit checks use PeopleCode, not the background Automatic Credit Check process.

Online Quotes

The same options apply as for sales orders.

Background

Select Sales Order or Quote and schedule the Automatic Credit Check Process (OM_CREDIT) to run at intervals that make sense in the environment with the Process Scheduler.

Note. If you don’t enable the Automatic Credit Check process, credit holds must be manually removed.

Hold Codes

Select the Inventory Flags tab establish options to prevent processing of demand to PeopleSoft Inventory fulfillment states.

Note. Depending on the type of hold code, some levels in PeopleSoft Inventory may not be available.

Note. Price-related holds will not be placed on the order if the order is from a buying agreement. The price-related holds are Minimum Selling Price, Less Than Minimum Margin, and Exceeds Maximum Margin.

Pass to Unfulfilled	The system passes demand data with this hold condition to the unfulfilled state in PeopleSoft Inventory.
Pass to Releasable	The system passes demand data with this hold condition to the releasable state in PeopleSoft Inventory.
Pass to Released	The system passes demand data with this hold condition to the released state in PeopleSoft Inventory.
Pass to Picked/Confirmed	The system passes demand data with this hold condition to the picked/confirmed state in PeopleSoft Inventory.
Pass to Shipped	The system passes demand data with this hold condition to the shipped state in PeopleSoft Inventory.

Select the Other Flags tab to establish options to prevent processing to PeopleSoft Planning, Purchasing, and Billing

Pass to Planning	Enables the PeopleSoft Supply Planning system to see order demand for consideration in the planning algorithms even though the order is on hold.
Pass to Purchasing	Holds that are placed on direct ship order schedules don't affect processing of the order in PeopleSoft Purchasing.
Pass to Billing	Use to define which holds should prevent non-stocked and direct shipped order lines from being billed in PeopleSoft Billing.

Note. Hold codes must first be established on the Hold Codes page.

Note. Not all options are available for all Hold Codes.

No Sold To, No Bill To, No Ship To, No Product Kit Components	These fields define missing information holds. The options are set up on the Hold Codes page. Data from orders with these hold conditions can't be passed to the states in PeopleSoft Inventory until you remove the hold and supply the missing information.
Manual Header Holds, Manual Line Holds, Manual Schedule Holds	Determine if the holds applied manually prevent or enable order data transfer to states in PeopleSoft Inventory Note. Keep in mind that the choices that you make on this page determine the effect of all manual holds.
Less Than Minimum Quantity	A hold condition occurs at the line level when the quantity is less than the minimum order limit for the product, established on the Product Attributes by UOM page.
Exceeds Maximum Quantity	A hold condition occurs at the line level when the quantity exceeds the maximum order limit for the product that is established on the Product Attributes by UOM page.
Exceeds Maximum Margin	A hold condition occurs at the schedule level when the margin exceeds the maximum margin that is allowed for the product, established on the Product Definition - Options page.
Less Than Minimum Margin	A hold condition occurs at the schedule level when the margin is below the minimum margin for the product, established on the Product Definition - Options page.
< Minimum Selling Price	A hold condition occurs at the schedule level when the price is less then the minimum selling price by unit of measure (UOM), established on the Product Attributes by UOM page.
Margin Rule Hold	A hold occurs if the margin price rule is violated when performing pricing during sales order entry.
> Buying Agreement Line MaxAmt (buying agreement line maximum amount	A hold condition occurs at the header level when the line maximum amount plus the percent over the maximum exceeds the line maximum that is established on the buying agreement Line page.
< Buying Agreement Min Qty (buying agreement minimum quantity)	A hold condition occurs at the header level when the buying agreement line minimum is less then the quantity minimum that is established on the buying agreement Line page.
< Buying Agreement Max Qty (buying agreement maximum quantity)	A hold condition occurs at the header level when the buying agreement line maximum quantity plus the percent over the maximum exceeds the maximum quantity that is established on the buying agreement Line page.
Price Discrepancy Hold	A hold condition occurs at the header level when the customer’s purchase order price differs from the price that is calculated by the system for orders that come through EDI/XML.
Arrival Date Window Hold	Enter a hold code to place the schedule on hold if the scheduled arrival date is outside of the window that the customer wanted to receive the goods. The system looks at the ship early and ship late days on the Ship to Options page along with the carrier, warehouse, and customer exception calendars and transportation lead times to determine if the scheduled arrival date is unacceptable. Note. If the schedule is marked as a customer pickup, the arrival date window hold will not be applied.
Configuration Hold	A hold condition occurs at the header level when the configuration contains errors for orders that come through EDI/XML.
Customer Pickup	The order is placed on hold until the customer picks up the order. Fulfillment can only be passed to released and picked/confirmed states in PeopleSoft Inventory. The hold code prevents PeopleSoft Inventory from fulfilling the order. The hold is managed by the system when the pickup option is selected on the line or schedule. When the order is picked up by the customer and the order is completed (the CSR clicks the Complete Order button), the hold is removed.
Exceeds Customer Credit	The order or quote is placed on hold when the bill to customer's credit limit is exceeded. In situations where some orders are on hold because the credit limit is reached and others are not, the system applies and releases the credit holds by order date.
Exceeds Corporate Credit	The order or quote is placed on hold when the corporate customer's credit is exceeded. In situations where some orders are on hold because the credit limit is reached and others are not, the system applies and releases the credit holds by order date.
Exceeds Maximum Order Amount	The order or quote is placed on hold when the bill to customer's maximum order amount is exceeded.
Outstanding AR	The order is placed on hold when the bill to customer has any outstanding accounts receivable balance in the specified aging category or beyond.
Credit Card Hold	The order is placed on hold at the Header level until the credit card provider authorizes the credit card amount for the order. Note. No further processing with PeopleSoft Inventory, Supply Planning or Purchasing can occur until the credit card is authorized.
Vendor Managed Inventory	This hold is used with the order verification option from the sold to customer to indicate that the order generated by VMI must be reviewed.
Order Sanction Hold	Enter a hold code for FSS screening during sales order entry. On the sale order, the customer information would be screened if there is an address override or a payment is entered for a counter sale.
Customer Sanction Hold	Enter a hold code for FSS screening that occurs for the customer. The hold code appears on the sales order if the customer is a match with the list used for FSS.

Placing Sales Orders on Hold

Direct Shipping Products

Setting Up the Fulfillment Engine Processing Options

Establish Claimback Settings

Access the Claimback Settings page.

AP Business Unit	Specify the PeopleSoft Payables Business Unit used to process the payments for claimbacks. Note. Make sure that the General Ledger Unit is the same as the General Ledger Unit for the Receivables Unit defined for the Order Management Business Unit.
Claimback Dist Rule (distribution)	Identifies the distribution rule to use in determining the distribution accounts for claimbacks.
Accrued Rev Dist Rule (revenue distribution)	Identifies the distribution rule to use in determining the distribution accounts for accrued revenue.
Template ID	Identifies the Journal template ID to be used in claimback processing.
Claimback Revenue	Identifies the revenue account used in claimback processing.
Accrued Revenue	Identifies the accrued revenue account used in claimback processing.

See Also

Working with Claimbacks

Establishing Accounting and Billing Options

Access the Accounting and Billing page.

Order Distribution Defaults

Rule Code

Elect to have all orders entered for the business unit use the option that is set up on the Distribution Rules page to determine default distribution codes on sales orders. If the distribution rule fails to find a distribution set match for the sales order, the values that are entered in Revenue Code, Discount Code, and Surcharge Code are used. Use the Distribution Accounts page to override default distribution codes.

RMA Distribution Defaults

RMA Rule Code and RMA Revenue Code

Elect to have all returned material authorizations that are entered for the business unit use the RMA distribution sets that are set up on the Distribution Sets page to determine default distribution codes on RMAs. If the system fails to find a distribution set match for the document type of RMA on the Distribution Sets page, the values that are entered here are used. Override default distribution codes during RMA entry on the Revenue Distribution Accounts page.

Billing Options

Bill Type Identifier and Bill Source	The values for these fields are defined in PeopleSoft Billing. Typically, a bill source is not required for billing interface operations. However, if you're generating invoice numbers by bill source that is defined on the Installation Options − Billing - GL/AR Options page and no bill source is recorded for the Order Management business unit, the system is not able to generate invoice numbers when adding new bills to PeopleSoft Billing. The Bill Type Identifier and Bill Source fields are setID controlled and must match the values that are selected for the Billing business unit that is linked to the Order Management business unit on the Order Management Definition - Order Management Setup page.
Price Adjustment Detail Option	Use to determine whether discounts and surcharges pass to PeopleSoft Billing and appear on invoices. Valid options are: As Account Distribution: The net unit price from the sales order is passed as the unit price to PeopleSoft Billing. Discount and surcharge information appears on the Accounting page of the online invoice. No discount or surcharge information appears on the printed invoice. As Dis/Surch Detail (as discount or surcharge detail): The gross unit price from the sales order is passed as the unit price to PeopleSoft Billing. Discount and surcharge information is detailed on the Discount/Surcharge page and the Line-Info 1 page of the online invoice and appears on the printed invoice. Also select this option in order for promotion activity to be recognized by the Promotion Activity Inquiry pages in that are PeopleSoft Promotions Management. Netted with Revenue: The net unit price from the sales order is passed as the unit price to PeopleSoft Billing. Discount and surcharge information does not appear on the online invoice or on the printed invoice. Note. Regardless of whether you have the Price Adjustment Detail Option set to As Account Dist (as account distribution) or As Disc/Surch Detail: Bill back discounts are accrued on the invoice as a separate accounting entry. If the adjustment's price rule is applicable to cost base or applicable to alternate cost base (options on the price rule), it will always be sent to billing as account distribution. This prevents customers from seeing what the cost was before adjustments were applied and simply shows them the final net price. If an order schedule is subject to India Excise tax and it has multiple pricing schedules, it will be processed as if this option was set to Netted with Revenue.
Total Order/Load Adjust Option	This option controls how total order and weight and volume pricing discounts and surcharges are sent to PeopleSoft Billing, and how they appear on invoices. Note. Your setting will be ignored under two circumstances. For any activity that is fully paid for on a counter sale order, all total order or weight and volume-based pricing will be sent to PeopleSoft Billing as adjustments to lines so that Billing will not recalculate taxes. The second scenario is for any activity that is subject to India Excise taxes. When this is the case, all total order or load-based pricing will be sent to PeopleSoft Billing as individual lines because Billing will calculate the excise taxes for these lines. The options are: Adjustments to Invoice Lines: The adjustments are included in the line on the invoice. Individual Invoice Lines: The adjustments will appear as individual lines on the invoice.
RMA Bill By ID	Identifier that is used to group RMA lines in billing.
RMA Adjustment Billing Source	Use to indicate the source for retrieving the bill type ID for grouping RMA lines on a bill. Valid options are: No RMAs: Use normal defaults for grouping bill type ID. OMBU (Order Management business unit): Use the RMA bill type ID that is defined for the Order Management business unit. INBU (Inventory business unit): Use the RMA bill type ID that is defined for the Inventory business unit.
Physical Nature	Select the default physical nature for transactions. Options are Physical Goodsor Intangible/Services.
Where Service Performed	Select the default location for where a service is most often physically performed. Options are: Buyer's Location, Ship From Location, Ship To Location, or Supplier's Location.
Restock Product ID	Select the identifier for the restocking charges that appear on the credit memo line. When the customer returns material, you may charge restocking fees. You can also have a credit memo generated when the RMA is saved or when the returned material is received. Fees, such as restocking fees, are added to the credit memo as an adjustment to the total credit amount. Note. The system uses the restock product ID that is defined here whether you're billing by Order Management business unit or by Inventory business unit.
Freight Product ID	When an order is shipped, you can enter freight charges and miscellaneous charges in addition to the freight charges, pallet charges or packing charges for example, on the Shipping/Issues - Order Summary page in PeopleSoft Inventory. Enter an identifier for freight charges that appear as bill lines on an invoice in the field. Note. You can also calculate freight charges during order entry.
Miscellaneous Charge Product	The identifier that is entered in the field appears on the invoice as a bill line along with a description of the charge that is entered at shipment.
Rebate Product ID, Penalty Product ID	Enter for rebates and penalties that are associated with buying agreements and independent sales rebates.
Rebate/Penalty Bill By ID	Identifier that is used to group rebate and penalties in billing. Note. Rebate information is always passed to billing on a new bill.

Counter Sale

Use to set parameters for receiving and managing cash in the counter sale environment.

Deposit Code	The Distribution code that represents the chart of accounts for deposits taken against an order, deposits applied to an order and deposit refunds. These deposit transactions will appear as lines on an invoice.
Refund Fee Product ID	Product Id that will be sent to PeopleSoft Billing for any fees associated with a deposit refund. These refund fees will appear as lines on an invoice.
Voucher Code	Distribution code that represent the chart of accounts for gift vouchers (payment) taken against an order. This will usually be for an expense or reserve account. These voucher payments will appear as lines on an invoice.

See Also

Distribution Codes

Understanding Freight Calculations

Using Buying Agreement Rebates and Penalties

Creating Independent Sales Rebates and Penalties

Order Processing in a VAT Environment

Establishing Return Type Codes and Restocking Fees

Entering Counter Sales

Establishing Shipping and Returns Options

Access the Shipping and Returns page.

The information that you enter in the Returned Material group box appears by default in all the RMAs that you enter for this business unit.

Return Type Code	Select an option that applies to the majority of returned material for the Order Management business unit.
Return To Inventory Unit	Select an option if you use a central inventory business unit for receiving and inspecting returned material.
Order Group	Select an option to use as the default order group for all replacement sales orders that are generated by RMAs.
Ship History (Months)	The value that is entered in the field determines the date range for the customer's shipment history that is available for populating RMA lines.
Transportation Arbitration Plan	Select an option as the default for orders that are entered in the business unit for transportation lead times. You must have previously defined a transportation arbitration plan.
Sourcing Arbitration Plan	Select an option as the default for determining alternate sourcing alternatives. You must have previously defined a sourcing arbitration plan.
Allow PO Changes Until	Use to select when the PO can be changed that is created when using alternative sourcing. Options are Dispatched or Due Date.
General Destination License	Enter a value that applies to orders for products that are not export controlled. The value appears by default on the export bills of lading in PeopleSoft Inventory.
Exporter's EIN Number	Enter a value for the number. The value appears by default on the export bills of lading in PeopleSoft Inventory.
Inventory Business Unit, Distribution Network Code	Enter a value for one of the options. You cannot select both. The system uses the distribution network code default when you enter order lines for a customer who doesn't have a permanent ship to customer ID and, as a result, isn't linked to a distribution network code that determines the Ship From business unit. In situations where you always have products ship from one Inventory business unit, select an Inventory business unit that moves by default to all order lines.
Reason Code	Select a reason code to describe the goods that are shipped as well as their nature and quality. This code is included on orders and shipping documents to meet government requirements. You can only enter reason codes with the reason type of shipments. The code appears by default on the Ship Options tab in the Order Lines section of the Order Entry Form.

See Also

Establishing Order Groups

Understanding Transportation Lead Times

Default Ship From Values

Establishing Return Type Codes and Restocking Fees

Populating RMA Lines From the Shipment History

Staging Interunit Transfer and RMA Receipts

Setting Up Alternate Sources of Supply

Establishing Taxes and Currency Options

Access the Taxes and Currency page.

Tax Setup

Different fields appear depending on the selection in the Tax Vendor field. If you have a VAT entity tied to the Billing Business Unit on the Order Management Setup page, links for the VAT default and VAT service treatment setup also appear on the page.

Note. If you have a VAT entity tied to the Billing Business Unit, but are also using a tax vendor for the Order Management Business Unit, the links for the VAT defaults do not appear because you cannot have a tax vendor and use VAT processing for the same Order Management business unit.

Tax Vendor	Select Taxware, Vertex, or None. Other fields appear based on the selection.
Company, Division	Enter codes that are used in Taxware and Vertex for reporting purposes.
Order Origin	Enter the business unit location in the field where sales orders originate and the location where orders are accepted in the Order Acceptance field. Taxware references these locations to calculate sales taxes in jurisdictions that use this information in their taxing practices. Note. This option is only used with third-party tax vendors.
Order Acceptance	Indicates the business unit location where Taxware and Vertex reference these locations to calculate sales taxes in jurisdictions that use this information in their taxing practices.
VAT Default	Click to access the VAT Defaults Setup page. The VAT Defaults Setup page is a common page that is used to set up VAT defaults for all PeopleSoft applications processing VAT transactions. On this page, you can define business unit defaults as applicable.
VAT Service Treatment Setup	Click to access the Services VAT Treatment Drivers Setup page. The Services VAT Treatment Drivers Setup is a common page that is used to set up VAT services treatment for all PeopleSoft applications processing VAT transactions. If you are required to implement special handling for services, you can specify business unit service treatment defaults on this page as applicable.

Note. If you are using Taxware, use Order Acceptance and Order Origin to ensure taxes are calculated accurately. Vertex only requires Order Acceptance.

Currency Exchange Defaults

Base Currency

Select the default.

Important! Even if you are not transacting in foreign currencies, you must identify a base currency for the business unit.

Rate Type

Select an option to determine the method that the system uses to set the exchange rate between currencies for Order Management transactions.

See Also

Order Processing in a VAT Environment

Integrating with Sales and Use Tax Applications

Establishing Order Entry Features

Access the Order Entry Features page.

The table displays a list of invalid setup combinations for the online and background processing options. You won't receive an error message if you choose an invalid combination, however the valid combination is automatically selected:

Option	Invalid Combination
Process Freight Charges, Online, Online	Process Estimated Shipments, Online, Field Chg Process Estimated Shipments, Online, Order Save
Process Freight Charges, Online, Manual	Process Estimated Shipments, Online, Field Chg Process Estimated Shipments, Online, Order Save
Process Freight Charges, Background, Background	Process Estimated Shipments, Background, None
Process Transport Lead Times, Online, Field Change	Process Exception Calendars, Online, None Process Exception Calendars, Online, Order Save Ship Date Calculation Method, None
Process Transport Lead Times, Online, Order Save	Process Exception Calendars, Online, None Process Exception Calendars, Online, Field Change Ship Date Calculation Method, Online, None
Process Transport Lead Times, Background, Background	Process Exception Calendars, Background, None Ship Date Calculation Method, None
Process Exception Calendars, Online, Field Change	Ship Date Calculation Method, Online, None
Process Exception Calendars , Online, Order Save	Ship Date Calculation Method, Online, None
Process Exception Calendars , Background, Background	Ship Date Calculation Method, Background, None
Ship Date Calculation Method, Online, Forward or Backward	Process Exception Calendars, Online, None Note. If Process Exception Calendars is used, the online and backround calculation methods will always match.
Ship Date Calculation Method, Background, Forward or Backward	Process Exception Calendars, Background, None Note. If Process Exception Calendars is used, the online and backround calculation methods will always match.
Process Weight and Volume Pricing, Online, Manual	Process Estimated Shipments, Online, Field Chg Process Estimated Shipments, Online, Order Save
Process Weight and Volume Pricing, Online, At Save	Process Estimated Shipments, Online, Field Chg Process Estimated Shipments, Online, Order Save
Process Weight and Volume Pricing, Background, Background	Process Estimated Shipments, Background, None

Order Entry Features

Mark for Billing at Order Save	Select check box to automatically record a shipped line for each nonstock order schedule when you save it with a status of open. Otherwise, the Populate Billing (OM_BILL) process populates the interface tables that are in PeopleSoft Billing with shipment history. PeopleSoft Billing runs Billing Interface process and then finalizes and prints invoices. Shipment history for nonstock products is recorded by using the Mark Lines for Billing process page. Run the Mark Lines for Billing process as a background process or manually record shipment lines for nonstock schedules by using the Mark Lines for Billing page.
Reserve at Save	Select the check box to automatically invoke the reservation process every time that you save the sales order. If you add new lines and save, it only reserves the new lines. The order status must be open for the reservations process to automatically reserve orders by using this option.
Lot Allocate at Save	Select if you want the system perform lot allocation when you save the order. If you don't select this option, the CSR can select lot allocation from the Header menu on the Order Entry Form page.
Show Buying Agreement Message	Select the check box to display a warning message that states that the product is not found for the buying agreement that is defined on the order line.
Allow Deposit in Credit Check	Select to include deposits in the credit checking algorithms.
Allow Margin Adjustment	Select to enable the CSR to manipulate the margin on the sale order or quote.
Incl Pending Payment in Credit (include)	Select to include payments that have not yet been processed by PeopleSoft Receivables in the credit checking algorithms.
Deposit Percent	Enter the percentage that is collected for special or backordered goods on a sales order. Deposit percent is defaulted from the customer onto the order. If there is none, then the Deposit percent is used from the business unit specified here.
Refund Fee Percent	Enter the percentage that is charged for refunding a deposit.

Select from the order options to determine how each is processed:

Process Freight Charges	Enter freight charges for sales orders and quotes. Manually enter freight charges on the Freight Charges page. You can also calculate freight charges by using transportation and freight rules and sets that are set up in PeopleSoft Order Management. The freight charges can be processed online by using the Freight Charges page, or they can be calculated in the background. If you don't select Online or Manual for the Online option, the Freight Charges page is unavailable for entry. Note. If you are calculating freight charges by using transportation and freight arbitration plans and rules, you must also use the Process Estimated Shipments option. Note. If you select the calculate freight charges option, but the freight terms designate that the shipper pays the freight costs, the freight amount will not be sent to billing for inclusion on the invoice. However, for information purposes, freight charges may still be estimated at order entry time.
Process Estimated Shipments	Group order schedules into estimated shipments in order to calculate freight charges, use weight and volume pricing, and manage shipping information.
Process Transport Lead Times	Calculate scheduled arrival and ship dates by using transportation lead times.
Process Exception Calendars	Calculate the scheduled arrival and ship dates based on the ship to customer, ship from inventory business unit and carrier exception calendars. Exception calendars for customers are set up on the General Information - Ship Exception Dates page and for Inventory business unit on the Closure Calendar page. Carrier exception dates are established on the Carrier Exception Calendar page. If you don’t select the exception calendar processing option, the system calculates the scheduled dates based on today’s date
Ship Date Calculation Method	Use to determine how to calculate the reguested delivery dates. the system uses the customer, warehouse and carrier calendars to determine the dates. If the requested delivery dates cannot be met, choose from the available options: Forward: The system will use the first available date after the requested delivery dates. Prior to this release, the system calculated the dates only using this method. Backward: The system will use the first available date before the requested delivery dates.
Weight and Volume Pricing	Calculate the price of the products in the order based on weight or volume. Also establish pricing for a unit of measure that is different than the ordering unit of measure. Note. If you are using weight and volume pricing, you must also select the Process Estimated Shipments option.
Availability Option	Availability options are: Automatic: Defaults the highest priority PeopleSoft Inventory Business Unit from alternate sources of supply. You can override the default by using the Alternate Sources of Supply page on the sales order. This will search alternate sources of supply again and display other sources that are available based on the arbitration plans and rules that are defined. Manual: Defaults the highest priority PeopleSoft Inventory Business Unit in the distribution network that has the quantity available to satisfy the quantity scheduled on the sales order. You can override the default by using the Alternate Sources of Supply page on the sales order. This will search alternate sources of supply and display other sources that are available based on the arbitration plan and rules that are defined. Network: Defaults the highest priority PeopleSoft Inventory Business Unit in the distribution network that has the quantity available to satisfy the quantity scheduled on the sales order. This option corresponds to having the Availability Check Flag selected in prior releases. None: If you are using a distribution network on the customer or PeopleSoft Order Management Business Unit, the highest priority PeopleSoft Inventory Business Unit from the distribution network defaults to the sales order schedule regardless of item availability. If you are not using distribution networks, the Inventory Business Unit that is defined on the Order Management Business Unit defaults to the sales order schedule. This option corresponds to having the Availability Check Flag cleared in prior releases.
Credit Card Authorizations	Elect to authorize credit cards during sales order entry.

When you are selecting online and background processing, you can choose these options:

Option	Online	Background
Process Freight Charges	Freight is calculated when you: Select the Calculate Freight link (Manual). Select the Calculate Freight link or at field change when the order is saved (Online). Freight is not calculated (None).	None, Background
Process Estimated Shipments	Field Chg (change), None, Order Save	None, Background
Process Transport Lead Times	Field Chg (change), None, Order Save	None, Background
Process Exception Calendars	Field Chg (change), None, Order Save	None, Background
Ship Date Calculation Method	None, Backward, Forward	None, Backward, Forward
Process Weight and Volume Pricing	None, Manually, Order Save	None, Background
Availability Option	Automatic, Manual, Network, None	Automatic, Network, None
Credit Card Authorizations	Online, None

Note. For Estimated Shipments, Transport Lead Times, and Exception Calendars, online processing can occur at Field Chg (change), when any of the fields that make up the option are modified, or at Order Save, when the order is saved.

Display

This section discusses how information is initially displayed during sales order entry based on the default that is for the business unit.

Note. The display for sales orders and quotes can also be defined for each user from the User Preferences page.

Customer Address

Display the customer address on the Order Header Page only when entering a new order header or displaying an existing order header from the add/search page.

Header Information Area, Purchase History Area, Price Summary Area, Sold To Area, Bill To Area, Ship To Area

Select to move by default the display of information in the designated areas of the Order Entry Form page. During order entry, you can open or close the area as needed. Options are:

Collapsed: The section appears in a collapsed mode.

Default: The Header Information Area, Purchase History Area, Price Summary Area, and Sold To Area appear in the open mode. The Bill To Area and Ship To Area appear in the collapsed mode.

Open: The section appears in an open mode.

Counter Sale Display

Counter Sale Pick Plan Sort

Select how to sort the pick plan.

IBU/Line: Sort by the Inventory Business Unit line.

IBU/Loc (location): Sort by the Inventory Business Unit location.

Display Pick Report on Screen

Select if you want the pick report to display for the clerk on the computer screen. If you don't select the option, the report will only be available in print format.

Display Receipt on Screen

Select if you want the receipt to display for the clerk on the computer screen. If you don't select the option, the receipt will only be available in print format.

Default Template

Use to specify the customer template used to enter customers who are not already in the system. The customer template must be saved with a status of Template in order to be selected for use with sales orders, quotes, or RMAs.

Sales Order, Quote, RMA

Select the template to be used for each transaction.

See Also

Default Ship From Values

Setting Up Transportation Lead Times and Freight Charges

Estimated Shipments

Weight and Volume Pricing

Using Short-Term Customers

Setting Up and Maintaining a Cash Drawer

Entering Counter Sales

Default SetID	In Add mode, the field appears. The unit determines the preliminary tableset sharing setup by determining the setIDs that are assigned to each record group for the new business unit. The setID that is assigned to a record group determines which tableset is used as values for that specific business unit.
Create BU (business unit)	When you enter a new unit, click the button to establish the setID controls for the Order Management business unit. Note. Create setIDs or business units that are five characters long. A performance degradation occurs if the setIDs or business units have fewer than five characters. Note. You must click the Create BU button before you can select a Location Code and BI Unit (Billing business unit) on this page and enter information on the other business unit pages.
Location Code	Use to identify the location of the business unit.
BI Unit (Billing business unit)	Used to link with an Order Management business. You can create invoices by Order Management business unit or by Inventory business unit. If you also link a Billing business unit with an Inventory business unit, the Inventory business unit takes precedence. Order schedules that have been shipped, including nonstock items, are pulled into the Billing system for creation of invoices. The process of invoicing is governed by rules associated with the Billing business unit that you enter on this page. These rules determine billing frequency, billing method, and so on. Important! If you choose to invoice by Inventory business unit, you must enter a Billing business unit on the Inventory Definition - Business Unit Definition page.
GL Unit, AR Unit, VAT Entity (General Ledger business unit), (Receivables business unit), (value-added tax entity)	Appears after a BI Unit is selected. Although Order Management may interface with PeopleSoft Billing for invoicing, it does not post to PeopleSoft Receivables or PeopleSoft General Ledger directly. Instead, the PeopleSoft Order Management system is tied to a Receivables and General Ledger business unit by virtue of the Billing business unit that is entered here. The Receivables business unit determines which receivable aging periods are included in the credit checking calculations during order entry. The General Ledger business unit determines the VAT entity.