Oracle Landed Cost Management (LCM) gives organizations financial visibility into their extended supply chain costs, including transportation and handling fees, insurance, duties and taxes.
Oracle LCM initially estimates these costs and later updates them with actual amounts as they become known, allocating them to shipments, orders, and products. This allows companies to maximize profits, improve visibility into outstanding liabilities, enhance competitiveness, and ensure that complex trade activities are compliant with regulatory mandates.
This chapter describes the following test flows in Oracle Landed Cost Management:
Verify Landed Cost Management Shipment Receipt through Mobile in Pre Receiving Scenario
Verify Landed Cost Management Shipment Receipt through Forms in Pre Receiving Scenario
Verify Purchase Order Receipt through Forms in Landed Cost Management Black Box Scenario
Verify Copying Simulated Landed Cost (SLC) while Calculating Estimated Landed Cost (ELC) for Standard Purchase Order in Service
Purchase order.
Charge types and cost factors are decided, and modifier created for each charge type.
Organization is LCM enabled, and LCM options are defined for the organization.
Table 35-1 Profile Options for Oracle Landed Cost Management
| Profile Name | Profile Value | Level |
|---|---|---|
|
QP: Licensed for Product |
Purchasing |
User |
|
QP: Blind Discount Option |
Yes |
User |
|
QP: Pricing Perspective Request Type |
Purchase Order |
Site |
|
QP: Pricing Transaction entity |
Procurement |
User |
|
QP: Source System Code |
Oracle Purchasing |
User |
|
INL: Default currency conversion type |
Corporate |
User |
|
INL: Default currency code for QP Charge |
USD |
User |
|
INL: Default Shipment type for Open interface |
St-1 |
User |
|
INL: Quantity UOM class |
Quantity |
Site |
|
INL: Weight UOM class |
Weight |
Site |
|
INL: Volume UOM class |
Volume |
Site |
Table 35-2 Predefined Data for Oracle Landed Cost Management
| Page Name | Field Name | Field Value |
|---|---|---|
|
Shipment Types |
Shipment Type Name |
St-1 |
|
Shipment Line Types |
Shipment Line Type Name |
SLT-01 |
Table 35-3 Window Setup Data for Oracle Landed Cost Management
| Window Name | Field Name | Field Value |
|---|---|---|
|
Create Modifier |
Modifier Name |
LCM modifier |
|
Inventory Accounting Periods |
Accounting Periods |
Open the current Period |
|
Organizations |
Organization Name |
LC1-Seattle Org (Pre-Receiving) |
|
Organization Name |
LC2-Seattle Org (Service) |
Table 35-4 Page Setup Data for Oracle Landed Cost Management
| Page Name | Field Name | Field Value |
|---|---|---|
|
LCM options |
Shipment Number Generation Shipment Number Type PO Price Tolerance (%) |
Shipment Number Generation Shipment Number Type PO Price Tolerance (%) |
Verifies the receipt of a completed shipment, through a mobile application.
Approved purchase order.
Mobile server.
Not applicable.
Not applicable.
Not applicable.
Verifies receipt of a completed shipment, through Forms. The receiving flow is similar with the purchase order receiving; the difference being that the quantity cannot be updated.
Approved purchase order.
Not applicable.
Not applicable.
Not applicable.
The whole estimated landed Cost (ELC) process is not required to be done manually. Once we receive the purchase order and submit the requests, the estimated landed cost is generated automatically.
Approved purchase order.
Not applicable.
Not applicable.
Not applicable.
When we request for some new materials, simulate all possible charges during the process of buying it, such as freight, insurance, packing, duty and other charges, then using this flow, we come to know whether the budget is enough for approving the purchase order.
Approved purchase order.
Not applicable.
Not applicable.
Not applicable.