13Define Advanced Collections Configuration

This chapter contains the following:

Manage Collections Preferences

Oracle Fusion Advanced Collections provides a user interface to guide you through the collection preferences. The two required setup regions are: Global Preferences and Preferences. You answer questions and make decisions about how the application functions, such as date ranges and defaults. Consider the following decisions before defining preferences:

Decision Is This Oracle Fusion Applicable?

How many employees, locations and organizations to create?

Yes, depends on the setup of the enterprise structure. Review and verify before setting up Advanced Collections.

Which employees to create?

Yes, determine the number of employees who are involved with the collection process.

Assign collectors?

Yes, how are the collectors going to be assigned; by customer account, account, site or other criteria?

Set up Oracle Fusion Accounts Receivables?

Yes, how is Receivables being set up and what is the impact on Advanced Collections.

Enable AR Transactions Summary Tables?

Yes, a profile option set in Receivables to update activities applied to transactions.

Set up Oracle Fusion Payments?

Yes, set up to use credit cards and automatic fund transfers to apply to transactions.

Set up Units of Measure?

Yes, a Receivables set up needed for transactions.

Set up Security and Users?

Yes, set up through Oracle Fusion Identity Management to grant access to collections.

Set up Notes?

Yes, is an Oracle Fusion Common Application Components (CAC) feature allowing collectors to comment on interactions with customers.

Set up Tasks?

Yes, is a CAC feature allowing collectors or managers to assign follow-up tasks.

Set up Oracle Business Intelligence Publisher?

Yes, but must be verified that Business Intelligence Publisher is working to run collection reports.

Global Preferences

Selections made in the Global Preference region impact the view the collectors see from the Collections Customer Work Area and Collections Dashboard. Global Preferences define the following:

  • Default transaction class that appears

  • Display of open transactions

  • Display of closed transactions

  • Number of days for prior and future transactions to be displayed

  • Number of days to reschedule work on the dashboard

  • Default aging method

  • Delimiter used to separate data and the number of characters required to do a search

  • Sender or return E-mail address for dunning correspondence

  • Maximum grace days before a promise is broken

  • Maximum number of days for a promise due date

  • Enable bankruptcy

Preferences

Selections made in the Preference region impact the defaults the collector encounters when going through the collection process. Preferences define the following

  • Preference set

  • Collections business level

  • Summarize or age credits

  • default conversion rate

  • Send method of dunning

  • Default contact for unknown dunning recipients

Correspondence

Selections made in the Correspondence table impact the defaults the collector encounters when sending correspondence during the collection process. Correspondence defines the following:

  • Preference Set

  • Send Dispute Notice

  • Dispute Template

  • Send Payment Notice

  • Payment Template

  • Send Promise to Pay Notice

  • Promise to Pay Template

This example demonstrates how to set preferences for Oracle Fusion Advanced Collections.

You have been tasked to set up the two sections for preferences: Global and Preferences. Configure your preferences based on the following requirements:

  • Your company requires collectors to review transaction that are 90 days past due and current ones 30 days into the future.

  • Collectors review customers by account and send out past due notices by E-mail.

  • Notices are sent to the accounts payable manager if no contact information is available.

  • Reviewing a customer's history requires viewing current and closed transactions.

  • Your company allows up to two days for rescheduling work on the dashboard.

  • Adjustments and disputes are handled within 1 business day of being recorded.

  • Credits on an account are summarized.

  • Aging is displayed by a 5 bucket aging method.

  • The conversion rate is based on a rate set by the corporation.

  • The delimiter symbol used to separate data is a pipe.

  • A three-character minimum is required and recommended to perform a search on customer accounts.

Use the following tables to define the two sections for preferences:

Configuring Collections Preferences

  1. Defining Global Preferences

    Field Value

    Select the default Transaction Type for the Transactions tab

    Select Invoice, other transaction choices are all, credit, or debit memos.

    Automatically display closed transactions on Transaction tab

    Yes is select to view closed transactions as part of the customers history.

    Automatically display current transactions on Transaction tab

    Yes is selected to view current or open transaction the customer has pending.

    Enter the number of days before the current date the transaction date range should start

    In this example, 90 days gives the collector 3 months of history. 1 to 9999 is the range that can be used.

    Enter the number of days after the current date the transaction date range should end

    30 days of current or open transactions are displayed. 1-9999 is the range that can be used.

    Enter the maximum number of days work can be rescheduled on the dashboard

    Two days is the allowable change in schedule for work. 1-9999 is the range that can be used.

    Enter the number of days after submitting an adjustment or dispute that an activity is generated

    One day generates the disputes and adjustments. 1-9999 is the range that can be used.

    Select the default Aging Method

    5 Bucket Aging, several aging buckets can be defined and may be available.

    Enter the delimiter used to separate customer, account and site on the Collections Dashboard

    The pipe symbol, other available choices are the greater than, dash, and colon symbols.

    Enter the minimum number of characters required to perform a search

    Three characters is the Oracle recommended number for a search. 1-9999 is the range that can be used.

    Enter the sender or return E-mail for dunning correspondence

    The default return E-mail for customers to respond

  2. Defining Preferences

    Preferences Table Column Name Field Value

    Collections Preference Set

    Select the value; Common Set.

    Select the Collections Business Level

    Account, other choices are customer and site.

    Select whether open credits should be aged or summarized by default

    Summarized, credits can be displayed as aged.

    Select the conversion rate type for converting multicurrency transactions

    Corporate, several choices can be defined and are displayed.

    Select the default method to send collections notifications

    Select E-mail, other methods are fax or print.

    Enter the default contact for unknown dunning recipients

    Accounts Payable Manager. User defined if no contact is listed.

    Correspondence Table Column Name Field Value

    Collections Preference Set

    Select the value; Common Set.

    Send Adjustment Notice

    Select yes to notify the customer of adjustments made to their account.

    Adjustment Template

    Select the delivered template.

    Send Dispute Notice

    Select yes to notify the customer of disputes made to their account.

    Dispute Template

    Select the delivered template.

    Send Payment Notice

    Select yes to notify the customer of payments made to their account.

    Payment Template

    Select the delivered template.

    Send Promise Notice

    Select yes to notify the customer of promises to pay on their account.

    Promise Template

    Select the delivered template.

  3. Save or Save and Close to enable your preferences.

FAQs for Manage Collections Preferences

The global preferences affect your Collections Customer Work Area. Using global preferences, you can change the display of closed or open transactions and set date range parameters.

The preferences can be set uniquely for a specific business unit. Using preferences, you can change the default settings, such as the method to send notifications.

Transactions set at the customer level to view or modify, encompasses all of the transaction activity associated with the customer. For example, a dunning letter at the customer level is inclusive of transactions at the customer and account level.

Transactions set at the account level to view or modify, are for a particular account and include transactions for all the bill to sites in that account.

Transactions set at the site level to view or modify, are specific to the bill-to location.

The minimum dunning amount is the total amount set for all overdue transactions to generate the correspondence. If your minimum dunning amount is set to $100 and you have three overdue transactions of $25, $35, and $55. totaling to $105. A dunning letter is generated listing all the three invoices as overdue.

The minimum dunning invoice amount is the amount set for a single overdue transaction to generate correspondence. If your minimum dunning invoice amount is set to $25 and you have three overdue transactions of $15, $50, and $75. A dunning letter is generated only for the $50 and $75 transactions.

Manage Aging Methods

Aging methods are periods of time used to group receivables, debit and credit items to achieve an understanding of a customer's delinquency profile.

By grouping transactions by buckets of time you can create an aging view of the customer. Using aged information you can do the following:

  • Effectively recover delinquent debt.

  • Develop more effective policies to assign work and streamline your efficiency.

You can create aging methods based on the preconfigured aging methods according to your requirements.

Aging Method Features

Aging is the concept of calculating a customer's past due and current transactions. Using Oracle Fusion Advanced Collections you can group the overdue debt by time. And assign work based on aging buckets of debt items. Here are some features of the aging methods:

  • Shows the amounts owed to the company by its customers and includes the length of time the amounts have been outstanding. For example, aging categorizes receivables into buckets such as; current, 30 days, 60 days, 90 days, and 120 days and over.

  • Manage aging methods from the Aging Methods Setup screen and Aging tab.

  • Use aging methods while creating the dunning plans.

  • View the transactions or receivables data to understand the overdue amounts viewed over time. This can help you to take a payment or create an adjustment or dispute.

This example demonstrates how to create an aging method not predefined in Oracle Fusion Advanced Collections.

Your company requires an aging method that is not a collections predefined aging method. You are to create a new aging method. Use the default values except where indicated. Create an aging method named 1 to 120 Days Method, with the following segments:

Sequence Bucket Type Aging Days From Aging Days To Aging Bucket Heading

1

Current

-9999

0

Current

2

Past Due

1

45

45 Past Due

3

Past Due

46

60

60 Past Due

4

Past Due

61

90

90 Past Due

5

Past Due

91

120

120 Past Due

6

Past Due

121

9999

121+ Past Due

Creating an Aging Method

  1. Start from the Manage Aging Methods page.

  2. From the Aging Method region, click the green plus sign to create an aging method.

  3. Complete the fields, as shown in this table.

    Field Value

    Aging Method Name

    1 to 120 Aging Day Method

    Aging Type

    Statement Aging; 4 bucket and 7 bucket aging are options, depends on the number of buckets for your aging method.

    Enable

    Yes

    Aging Method Set

    Common Set

    Aging Method Description

    Current to 120 Day Aging method.

  4. Click Save.

  5. From the 1 to 120 Aging Day Method: Details, complete the fields, as shown in this table.

    Field Value

    Sequence

    1

    Bucket Type

    Past Due

    Aging Days From

    1

    Aging Days To

    45

    Aging Bucket Heading

    45 Past Due; Click the Create icon to create the row for the next sequence.

    Sequence

    2

    Bucket Type

    Past Due

    Aging Days From

    46

    Aging Days To

    60

    Aging Bucket Heading

    60 Past Due

  6. Repeat the steps for sequences 4 to 6 and increase the Aging Days From and Aging Days To accordingly.

  7. Click the Save and Close to complete the creation of a new aging method.

    The following validation rules are in place when creating or modifying an aging method:

    • A bucket must contain at least 2 bucket lines and at most 7 lines.

    • A Bucket Type passes from the user interface as a fixed constant value.

    • A bucket must have Aging Days From less than Aging Days To.

    • All buckets must cover the range from -9999 to 9999 and there is no way to update a field with the value of -9999 or 9999.

    • Aging buckets cannot have any gaps between -9999 to 9999.

FAQs for Manage Aging Methods

You can't modify the predefined aging methods. However, you can copy the predefined aging method to create a duplicate and then modify the duplicate aging method.

To modify, go to the Manage Aging Methods page, select one of the delivered aging methods and click the Duplicate button. By default, the duplicate aging method is renamed with copy as prefix. For example, 5 Bucket Aging becomes Copy 5 Bucket Aging. Make the required changes and save the duplicate aging method.

Manage Collectors

A collector is an individual or a group of individuals, assigned to a customer to conduct various collections work. Tasks include:

  • Sending correspondence

  • Reviewing customer history

  • Collecting payment from customers

Note: Prior to creating a collector, the individual must be set up as an employee in Oracle Fusion Human Resources and as a resource in Oracle Fusion Customer Relationships Management (CRM) applications.

Setting Up Collectors

Consider the following when setting up individuals as collectors:

  • A collector can individually be assigned to one or more customers or can be a group member that collects from one or more customers. Evaluate the most appropriate collection needs for your organizations.

  • Collectors can be assigned at the customer, account or site level. Determine how your organization interacts with customers.

  • Research how your organization divides the work and tasks among collectors.

  • Collections organization structures can be created in several ways based on the number of customers. For example, you can group customers according to size, small to large or divide customers regionally or by the monetary volume you do with a customer.

Using Collector Groups

A collector group consists of a primary collector and one or more individual collectors. You use the collector group to perform collection tasks as a team. The collectors in a collector group can perform the same collections tasks.

All collectors belonging to a collector group have the same visibility to the delinquent customers and strategy tasks in the Collections work area. The Strategy Tasks info tile shows the list of open manual strategy tasks for the group. Collectors from the group can reassign a task to themselves or to any other collector in the group. The Strategy Task list displays the primary collector and the assigned collector for the tasks.

The activity assigned to a primary collector are not included in the count and listing of the activities of any collector in the group.

Consider the following rules when adding a collector to a group:

  • A collector can be designated as either a group member or a backup collector for a specified date range.

  • A collector can belong to only one active collector group for a specified date range.

Let's understand how you can create collectors and allocate them as employee or group assignment.

Let's say your company wants to create five individuals as collectors. Set up your collectors based on the following information:

  • The Collections Department collects on a regional basis, north, south, east and west.

  • Acme Corporation is a large customer and they want to assign one collector to this account.

  • All five individuals have been created as a Person Party and Employee, a prerequisite to creating a collector.

  • Collector groups can be setup for each region.

Here are the details required for each individual:

Field Action

Name

Employee Name

Description

Optional; detail information

Correspondence

Name used on sent correspondence

Telephone Number

Contact number

Employee Name

Active employee list

Active or Inactive

Collector status

Create an Employee Assignment

  1. Navigate to the Collectors Setup page in Functional Setup Manager. You can search or create a new collector from this page.

  2. Click the Add or Create Collector icon to create a new collector.

  3. Enter the Collector Name.

  4. Ensure to select Employee as the type of collector.

  5. Select the name of the employee from the list of values in the Employee column.

  6. The Enabled field is set to Yes by default.

  7. Select the appropriate Collector Set.

  8. Click the Save and Close button.

Create a Collector Group

A collections manager can create a collector group. Perform the following steps to create a collector group:

  1. Navigate to the Manage Resources page.

  2. Select a primary collector for the collector group you want to set up.

  3. Navigate to the Collector Group section of the page.

  4. Click the New icon to add a new collector group.

  5. Enter a unique collector group name. The Enabled field is set to Yes by default.

  6. Add members to the group by selecting their names from the Collector list. The Enabled field is set to Yes by default along with the start date.

  7. After adding all collectors to the group, click Save or Save and Close.

Overview of Collectors Descriptive Flexfield

You can use the Collectors Descriptive Flexfield to add custom attributes for collector information such as a geographical region and collections experience.

For example you can create a descriptive flexfield to identify the collector location that can be used to assign them to customers in or near their location. Tracking the experience of a collector can be used to determine which customer accounts get assigned to a collector.

One descriptive flexfield is available in Oracle Fusion Advanced Collections.

Descriptive Flexfield Description

Collectors

15 segment available to display additional information about collectors.

Defining Descriptive Flexfield Segments

Use the Manage Descriptive Flexfields task to define a segment or segments for a descriptive flexfield. You can add more information related to collectors based on your collection needs and level of detail information about them.

Activating Descriptive Flexfields

Activate a descriptive flexfield after you have defined value sets and segment values by deploying the flexfield. You must sign out and sign in to the application to see your descriptive flexfield.

Note: The Global segments for the Collectors Descriptive Flexfield are not available.

Set Up the Collectors Descriptive Flexfield

The Manage Collectors descriptive flexfield provides 15 segments to capture additional information. These segments are made available to you as individual fields in the Manage Collectors page. This example illustrates how to set up the descriptive flexfield using the context-sensitive segments, based on the following scenario

Scenario

You have been tasked with setting up collectors and want to capture more information about the collectors geographical location and collections experience. You want to be able to search on this information and associate this information to each collector you create. Set up the additional fields using the following information

Segment Name Value

Region

  • East

  • West

  • Central

Experience

  • Novice

  • Junior

  • Senior

Setup Steps

  1. Navigate to the Set Up and Maintenance in the Functional Setup Manager.

  2. Select the All Tasks tab.

  3. Search for the task Manage Value Sets Manage Value Sets.

  4. Click the Go to Task icon.

  5. Search on the Module field for Advanced Collections.

  6. Click Search.

  7. In the Search Results region click on the Create icon

  8. In the Create Value Set page, enter the following information:

    Create Value Set Value

    Value Set Code

    IEX_REGION

    Description

    Optional

    Module

    Advanced Collections

    Validation Type

    Independent

    Value Data Type

    Character

    Definition Region Value

    Value Subtype

    Text

    Maximum Length

    20

    Minimum Value

    Leave Blank

    Maximum Value

    Leave Blank

    Uppercase only

    Unchecked

    Zero fill

    Unchecked

  9. Click Save and Close button.

  10. Search on the Value Set Code that you just created. Your set code appears in the search results.

  11. Click the Manage Values button in the search results.

  12. On the Manage Values page, in the Search Results region, click the Create icon.

  13. In the Create Values page create the East, West, and Central values.

  14. Enter the following information:

    Field or Check Box Value

    Required Value

    East

    Description

    Optional

    Enabled

    Checked

    Start Date

    Optional

    End Date

    Optional

    Sort Order

    Optional

  15. Click the Save and Close button.

  16. Repeat for the Central and West regions. Click the Create icon

  17. Once you have completed entering each of the regions, click the Save and Close button.

  18. Click the Save and Close button.

  19. Click the Done button.

  20. Click the Done button, a second and final time.

  21. From the Manage Value Sets task, click on the Go to Task.

  22. Click on the Create icon.

  23. Enter in the following information from Create Value Set page:

    Value Set Field Value

    Value Set Code

    IEX_EXPERIENCE

    Description

    Optional

    Module

    Advanced Collections

    Validation Type

    Independent

    Value Data Type

    Character

    Definition Region Field or Check Box Value

    Value Subtype

    Text

    Maximum Length

    20

    Minimum Value

    Leave Blank

    Maximum Value

    Leave Blank

    Uppercase only

    Unchecked

    Zero fill

    Unchecked

  24. Click the Save and Close button.

  25. Search on the Value Set Code that you just created. Your set code appears in the search results.

  26. Click the Manage Values button.

  27. On the Manage Values page in Search Results region click the Create icon

  28. In the Create Values page create the Novice, Junior and Senior values.

    Field or Check Box Value

    Required Value

    Novice

    Description

    Optional

    Enabled

    Checked

    Start Date

    Optional

    End Date

    Optional

    Sort Order

    Optional

  29. Repeat the information for Junior and Senior values.

  30. Click the Save and Close button.

  31. Click the Save and Close button. a second time.

  32. Click the Done button.

  33. Click the Done button a second time.

  34. From the All Task tab, search for the Manage Descriptive Flexfields.

  35. Click the Go to Task icon

  36. In the Name field enter Collectors.

  37. Click the Search button

  38. In the Search Results region for Collectors, click the Edit icon.

  39. In the Context Segment region in the Prompt field, enter Additional Information as the name for the Prompt to be displayed on the Manage Collectors page.

  40. Click the Manage Contexts button.

  41. From the Manage Contexts page click the Create icon and enter the following:

    Field Value

    Display Name

    Additional Information

    Context Code

    IEX ADD INFO (uppercase recommended)

  42. Click the Save button.

  43. In the Context Sensitive region click the Create icon and enter the following:

    Field Value

    Name

    Region

    Code

    IEX REGION

    Description

    Optional

  44. In the Column Assignment region enter the following:

    Field Value

    Data Type

    Text

    Table Column

    Attribute 1

  45. In the Validation region enter the following:

    Field or Check Box Value

    Value Set

    IEX_Region

    Description

    Optional

    Range Type

    Not required

    Required

    Unchecked

    Initial Default

    Not required

  46. In the Display Properties region enter the following:

    Field or Check Box Value

    Prompt

    Collectors Region

    Display Type

    List of Values

    Required

    Unchecked

  47. Click the Save and Close button

  48. In the Context Sensitive region click the Create icon and enter the following:

    Field Value

    Name

    Experience

    Code

    IEX EXPERIENCE

    Description

    Optional

  49. In the Column Assignment region enter the following:

    Field Value

    Data Type

    Text

    Table Column

    Attribute 2

  50. In the Validation region enter the following:

    Field or Check Box Value

    Value Set

    IEX_Experience

    Description

    Optional

    Range Type

    Not required

    Required

    Unchecked

    Initial Default

    Not required

  51. In the Display Properties region enter the following:

    Field or Check Box Value

    Prompt

    Collector Experience

    Short Prompt

    Experience

    Display Type

    List of Values

    Required

    Unchecked

  52. Click the Save and Close button.

  53. click the Save and Close button, a second time.

  54. Click the Done button.

  55. Click the Save and Close button.

  56. In the Manage Descriptive Flexfields page, search in name field for Collector.

  57. In the Search Results region, the Descriptive Flexfield appears.

  58. Click the Deploy Flexfield button.

  59. Click OK in the pop-up window.

  60. Activate the Descriptive Flexfield by signing out and signing back into the environment.

  61. Navigate to Set Up and Maintenance. Search for Manage Collectors using All Tasks tab.

  62. Click the Go to Task icon.

  63. Verify the Additional Information field appears in the Search region with a List of Values of Region and Experience.

  64. Create a new collector and Expand the row. Verify the Additional Information with the 2 segments Region and Experience appear with the appropriate values for each.

FAQs for Manage Collectors

An employee assignment is a collector assigned to one customer. You must create individuals as employees before you can set them up as users, resources, and collectors.

A group assignment is created to assign work and customers to a group of collectors. You can have multiple employees or collectors in one group.

Manage Dunning Configuration

The following two dunning methods can be used to set up customer correspondence:

  1. Aged

  2. Staged

The dunning methods are supported at the following levels:

  • Customer

  • Account

  • Bill-to Site

Aged Dunning Method

The Aged Dunning method can be used by companies sending collection letters to their customers based on the oldest aged transaction. Delinquent transactions are identified automatically when the Delinquency Identification concurrent process is run. Preconfigured dunning notice templates are available, or the deploying company can create their own dunning notice templates. As the oldest aged transaction moves into the next aging bucket, the content of the dunning letter can change. A single consolidated letter can be sent to eliminate sending multiple aged dunning letters to the same customer who has more than one delinquent transaction. The templates are associated to aging buckets in the dunning configuration process.

Staged Dunning Method

The Staged Dunning method is based on the number of days since the last dunning letter was sent, rather than the number of days transactions are past due. A single consolidated letter can be sent to eliminate sending multiple staged dunning letters to the same customer who has more than one delinquent transaction. Delinquent transactions are identified automatically when the Delinquency Identification concurrent process is run. In cases where transactions have installment due dates, the staged dunning letter includes each overdue installment date in the body of the consolidated letter. Staged dunning letters are sent at delayed intervals defined in the Dunning Configuration process. These intervals control the timing of each letter sent. Use preconfigured dunning templates or create new ones.

Configure dunning plans and letters to facilitate regular correspondence with your customers.

All of the following options except rerun the dunning process are created in the Correspondence Configuration in Functional Setup Manager.

  • Dunning letter options

  • Delivery options for dunning letters

  • Dunning configuration set

  • Dunning transactions

  • Rerun the dunning process

Dunning Letter Options

Use the preconfigured aged or staged dunning letters delivered by the application or create new dunning letters to meet unique requirements. Configure dunning to run in one of two methods:

  1. Aged Dunning is based on the oldest past due debit item.

  2. Staged Dunning is based on the number of days since the previous letter was sent.

Delivery Options for Dunning Letters

Delivery of dunning letters to customer is:

  • E-Mail

  • Fax

  • Regular mail

Dunning Transactions

Select the transactions and charges to include in the dunning letters.

  • The Dunning Letter Generate program can include current invoices, disputed invoices, and credit memos.

  • The dunning letters can include current transactions.

  • Finance charges can be included as a line item.

  • When you select the Include Disputed Invoices, the transactions awaiting dispute resolution are displayed and included in the total.

Dunning Configuration Set

Dunning can be configured by one business unit or multiple business units. Consider the following when defining sets:

  • A Set defines a subset of a master list of business objects, such as suppliers, customers, or in this case a Dunning Configuration Set.

  • A Set Determinant is a business object, usually a type of organizational unit, that has a 1 to 1 relationship to Set. When Set Determinant is visible, Set can be hidden.

  • A Set of business objects can be associated with an organizational unit, such as Business Unit or Legal Entity, to enforce data security. Then, when you are associated with organizational units, they automatically see only the subset of business objects appropriate for their organizational units.

  • A Set or Set Determinant field appears to you as a lookup code that determines which subset of a master list of objects their organizational unit uses. For example, if you are performing a Purchasing transaction, the Set or Set Determinant value would determine which Suppliers can be used.

Rerun the Dunning Process

Rerun the dunning process to correct errors or regenerate dunning letters:

  • Rerun the dunning process should there be an error during any phase of the program.

  • Regenerate a previous dunning letter if a customer request another copy.

Keep customers from receiving dunning letters by indicating them as Exclude from dunning on the Profile tab.

Oracle Fusion Advanced Collections Dunning feature utilizes Oracle Business Intelligence Publisher to distribute dunning letters to customers by Email, fax, or print. To use this feature, you must configure Oracle Business Intelligence Publisher to connect to the deploying company's internal Email, or the print or fax servers.

Configuring Oracle Business Intelligence Publisher: Configure Oracle Business Intelligence Publisher by adding an Email server. Refer to the Oracle Fusion Middleware Administrator's Guide for Oracle Business Intelligence Publisher (Oracle Fusion Applications Edition).

Adding the EMail Server

To add an Email server:

  1. From the Administration page select Email. This displays the list of servers that have been added. Select Add Server.

  2. Enter the Server Name, Host, and Port for the Email server.

  3. Select a Secure Connection method to use for connections with the Email server. The options are: None or SSL. Use Secure Socket Layer. TLS (Transport Layer Security). Use TLS when the server supports the protocol; SSL is accepted in the response. TLS Required. If the server does not support TLS, then the connection is not made.

  4. Optionally enter the following fields if appropriate: General fields; Port Security fields User name and Password.

FAQs for Manage Dunning Configuration

Aged dunning sends dunning letters based on the age of the oldest transaction. Managers identify the dunning letter to be sent for each aging bucket.

Staged dunning sends dunning letters based on the age of the oldest transaction and the number of days since the last letter was sent. Managers specify how long to wait before executing the next stage.

For both methods, managers decide whether or not to manually schedule a follow-up call if the delinquency isn't resolved.

Define Scoring

Scoring formulas are the foundation for your collections activities.

Scoring Formulas

Oracle Fusion Advanced Collections uses scoring in two ways:

  1. Determines transaction status as current, delinquent, or predelinquent. Collections scores invoices and debit memos from Oracle Fusion Accounts Receivables. A customer is delinquent when they have past due transactions.

  2. Determines the collectability of each customer at the customer, account, or bill-to site level. Use data points about the customer to determine collectability.

Scoring formulas consist of:

  • High and low scores

  • One or more weighted data points that must sum to 1

  • Data point details you define to cover all possible values

  • Status used only in the case of scoring transactions

  • A segment which enables you to run against a subset or segment of the database

  • A review where you can test your formula

A Scoring formula provides you an effective way to manage your collections resources and strategies.

Collections delivers a set of scoring formulas you can apply or copy and modify to your specific business needs.

Considerations and Recommendations

Consider the following:

  • You should test all data points and scoring formulas in a test environment using a portion or all of your production data

  • Once you are satisfied with the scoring results and performance, you can move your tested scoring formulas to your production environment

This examples shows you how to create a scoring formula.

Create a simple scoring formula based on the following data points:

  1. Account Level Delinquency Count

  2. Accounted Amount of Delinquencies

Note: If these do not exist you must create them first before creating a scoring formula.

Create a Scoring Formula

Navigation: Setup and Maintenance > All Tasks > Define Collections > Manage Collections Scoring > Go to Task icon > Manage Scoring Formulas

  1. From the Manage Scoring Formulas page, click Create icon.

  2. Enter the following information using the subsequent table:

    Field Value

    Name: Required

    Simple Scoring Formula

    Type: Required

    Account: Determines the type of data points can be added to the formula.

    Description: Optional

    Number and Amount of Delinquencies.

    From Score: Required

    1: The lowest possible score the formula calculates.

    To Score: Required

    100: The highest score the formula calculates.

    Enabled: Activates the formula

    Check

  3. From the Data Points sections, you add data points to the formula. Each data point must be mapped across the high and low range of the Scoring Formula.

  4. Click Add Row icon.

  5. In the Name field search for Account Level Delinquency Count data point.

  6. Highlight the data point and click OK.

  7. Enter a value of 1 in the weight field.

  8. Enter the following information in the Data Point Details section populating 4 rows using the subsequent table:

    From Range to Range Value

    0

    10

    100

    11

    50

    75

    51

    100

    50

    101

    999,999,999

    1

  9. Click Save.

  10. Click Add Row icon.

  11. In the Name field search for Accounted Amount of Delinquencies data point.

  12. Highlight the data point and click OK.

  13. Enter the following information in the Data Point Details section populating 4 rows using the subsequent table:

    From Range to Range Value

    0

    5,000.00

    100

    5,000.01

    25,000.00

    75

    25,000.01

    50,000.00

    50

    50,000.01

    999,999,999.00

    1

  14. Adjust the weights of the 2 data points using the following table:

    Data Point Weight

    Account Level Delinquency Count

    0.25

    Accounted Amount of Delinquencies

    0.75

    Total

    1.00

  15. Click Save button.

  16. Click Next button. Enter the following information in the Scoring Formula Segment page using the subsequent table:

    Segment Value

    View Name Select the grouping for the customers, accounts, sites, or transaction that applies to the scoring formula.

    IEX_F_ACCOUNTS_V

    Identifier Select the unique attribute identifying each customer, account, site or transaction.

    CUST_ACCOUNT_ID

  17. Click Next button.

  18. Click Save button.

  19. Move to the Scoring Formula Review page.

  20. In the Sample Score section, test your formula using the information in the subsequent table:

    Field Value

    Account Number: Select an account that has delinquent or current transactions.

    Valid account number

    Business Unit: Select a business unit that contains those transactions.

    Valid business unit

  21. Click Score button.

Scoring Formula Results

The following are displayed in the Data Points table:

  1. Component Score: the actual number of delinquencies and total amount of delinquencies for the test account.

  2. Mapped Component Score: how that number translates to each data point detail.

  3. Weighted Score: the Mapped Component Score multiplied by the data point weight.

    The total score displays the sum of the weighted scores for all data points. This is the score assigned to the account.

Applying the Formula

Your formula is now activated and you want to apply it by submitting the Collections Scoring as Job program.

Navigation: Navigator > Scheduled Process > Collections Scoring as Job

  1. Click Schedule New Process button.

  2. Select from the list of values: Collections Scoring as Job.

  3. Enter the Parameters according to the subsequent table:

    Parameter Value

    Business Unit: Required

    Select a business unit that contains the account.

    Scoring Formula: Required

    Simple Scoring Formula

  4. Click Submit button.

  5. Verify by navigating to the Collections Work Area. Query for the customer, account, or bill-to site and review. The score appears in the Customer Hierarchy task pane.

This example shows how to take an existing formula and use the duplicate feature to make edits to the formula.

Oracle Fusion Advanced Collections delivers a set of formulas you can use to score customers. You can modify the existing formulas to meet your business requirements by copy and modifying them.

Editing an Existing Formula

You are using the formula, Customer Scoring and want to change the weight in the existing formula to give customers who are 91+ days overdue lower scores.

Navigation: Setup and Maintenance > All Tasks > Define Collections > Manage Collections Scoring > Go to Task icon > Manage Scoring Formulas

  1. Query the existing formula. In the Query by Example field for Name enter Customer Scoring and Enter.

  2. Select the row and click Duplicate icon.

  3. Edit the formula information using the subsequent table:

    Field Value

    Name

    • Required

    • Replace Copy of Customer Scoring. This must be a unique name

    91+ Customer Scoring

    Description: Optional

    Modified copy of the Customer Scoring formula. Change in weighted values.

    Start Date: Required

    Current Date

    End Date: Optional

    Leave Blank: Use an end date if the formula has limited availability.

    Type: Determines the type of data points you can add to the formula.

    Customer

    Description

    This is an optional field.

    From Score: Required

    1: The lowest possible score the formula calculates.

    From Score: Required

    100: The highest possible score the formula calculates.

    Enabled: Activates the formula.

    Yes

  4. Alter the weights according to the following table:

    Data Point Weight

    The Percent of Delinquencies 1-30 Days Overdue

    0.1 Lower value to increase the other data point

    The Percent of Delinquencies 31-60 Days Overdue

    0.1 Lower value to increase the other data point

    The Percent of Delinquencies 61-90 Days Overdue

    0.1 Lower value to increase the other data point

    The Percent of Delinquencies 91+ Days Overdue

    0.7 Lower value to increase the other data point

    Total Must equal 1.00

    1.00

  5. Click Next button.

  6. Keep the Customer Segments listed. Click Next button.

  7. From the Create Scoring Formula: Review, click Save button.

  8. In the Sample Score section test your formula using the information in the subsequent table:

    Field Value

    Account Number

    Select an account known to have 91+ delinquent transactions.

    Business Unit

    Select a Business Unit that contains those transactions.

  9. Click Score button.

    The following are displayed in the Data Points table:

    1. Component Score: the actual number of delinquencies and total amount of delinquencies for the test account.

    2. Mapped Component Score: how that number translates to each data point detail.

    3. Weighted Score: the Mapped Component Score multiplied by the data point weight.

    The Total Score displays the sum of the weighted scores for all data points.

Assigning the Formula

Your formula is now activated and you want to apply it by doing the following:

Navigation: Navigator > Scheduled Process > Collections Scoring as Job

  1. Click Schedule New Process button.

  2. Select from the list of values: Collections Scoring as Job.

  3. Enter the parameters according to the subsequent table:

    Parameter Value

    Business Unit

    Select a Business Unit that contains the account you tested previously.

    Scoring Formula

    91+ Customer Scoring

  4. Click Submit button.

  5. Verify by navigating to the Collections Work Area. Query for the customer, account, or bill-to site and review. The score appears in the Customer Hierarchy task pane.

A data point is a component of a scoring formula.

Data Points

You must first define your data points prior to creating a scoring formula.

Note: Cloud customers must submit a Service Request to create, edit, or modify scoring data points used in formulas.

Data points can be one of the following two types:

  1. A select statement

  2. A database function, an example would be asking for the total number of delinquent transactions or the total delinquent amount of customer delinquencies

Note: You must know how to create PL/SQL statements or functions for either type.

The following are criteria for data point details:

  • They must return a single numeric value

  • They must be created for a certain element which is the database entity to be scored

  • Can be positive or negative

  • Must account for the range of numbers from -999,999,999 to 999,999,999

  • Must be contiguous and do not overlap

The values calculated by a data point are weighted and used in the scoring formula. Collections deliver formulas where a higher score indicates a better chance of collectability and a lower score indicates a lower chance of collectability. You can configure formulas where higher scores result in lower chance of collectability and lower scores a higher chance of collectability.

This example shows you how to create data points used in a scoring formula.

Create two data points based on the following information:

  1. Configure the first data point for the number of delinquencies for a given customer account

  2. Configure the second for the total amount delinquent. This data point uses accounted amount and lets you add different currencies.

Note: You must create data points before you can create a formula.

Create Data Points

Navigation: Setup and Maintenance > All Tasks > Define Collections > Manage Collections Scoring Data Points > Go to Task icon

  1. Navigate to the Manage Collections Scoring Data Points page, click Create icon.

  2. Use the following details to create your first data point:

    Field Value

    Name: Required

    Account Level Delinquency Count: Use a unique name.

    Type: Required

    Account Other choices are:

    • Customer

    • Bill-to

    • Transaction

    Description: Optional

    Total number of delinquencies for a customer account.

    Function: Refers to a database function

    No: This example uses a PL/SQL statement.

    Enabled: Activates the data point to be used in formulas.

    Check

    SQL Statement: The ability to write PL/SQL statements is required for this task

    Select count(1) from iex_delinquencies where cust_account_id=:cust_account_id and status<>'CURRENT'

  3. Click Save and Add Again button.

  4. Use the following details to create your second data point:

    Field Value

    Name: Required

    Accounted Amount of Delinquencies: Use a unique name.

    Type: Required

    Account Other choices are:

    • Customer

    • Bill-to

    • Transaction

    Description: Optional

    Total amount of the delinquencies in the accounted amount that enables summing of different currencies.

    Function: Refers to a database function

    No: This example uses a PL/SQL statement.

    Enabled: Activates the data point to be used in formulas.

    Check

    SQL Statement: The ability to write PL/SQL statements is required for this task

    Select NVL(sum(ar.acctd_amount_due_remaining),0) from ar_payment_schedules ar, iex_delinquencies del where ar.payment_schedule_id = del.payment_schedule_id AND del.status in ('DELINQUENT', 'PREDELINQUENT') AND del.cust_account_id = :cust_account_id AND del.creation_date >= sysdate -365

  5. Click Save and Close button.

FAQs for Define Scoring

You can assign the scoring formula status only when the scoring formula type is Transaction. Assign one of the following statuses:

  • Current

  • Delinquent

  • Predelinquent

What's a scoring formula segment?

A segment is a subset of the objects being scored.

For example, to score customers in US based on different criteria than customers based in Japan. You can just create two different formulas and attach two different segments to those formulas.

The segment is a database view and must be created by your Database Administrator.

Define Strategy

You must complete a series of processes before using the strategies.

Here's how you process the strategies:

  • Score collections objects by running the Collections Scoring program

  • Aggregate customer data by running the Update Collections Summary Data program

  • Run the Strategy Management concurrent program to create a strategy for each delinquent object

  • Each strategy is assigned based on the score applied to it

  • This score determines how aggressively or softly the strategy treats delinquent customers

How You Process a Strategy

Let's understand how you can process a strategy with help of an example.

Say you have created delinquencies and scored collections objects, such as 30 day and 60 day past due invoices. There are two strategies that exist with the following information:

Strategy Name Tasks

Soft

  1. Send reminder letter

  2. Make call

  3. Follow-up call

  4. Send dunning letter

Hard

  1. Send dunning letter

  2. Make call

  3. Call escalation by supervisor

Results

The following scores result after the Strategy Management program runs:

Score Results

50

Higher Score results in a softer strategy

30

Lower score results in a harder strategy

Analysis

  • If the program can't find a strategy to match the exact score, it assigns a more aggressive strategy.

  • If the delinquency score returned by the scoring engine is 35, then the selection module in the program looks for strategies ranked 35, and if not found, looks for 34, then 33, until a valid score is found. Like in this example, the program assigns the Hard Strategy to the delinquent object.

Oracle Fusion Advanced Collections strategies are a series of manual or automated activities, known as tasks. These tasks are linked together in the order they're to be executed.

You can use these tasks to collect from your delinquent customers. Here are some examples of these tasks:

  • Call the customer

  • Send a letter, fax, or email

  • Escalate to a supervisor

If you escalate a task. A notification is sent to your manager automatically.

Note: You can create several tasks and reuse them in many strategies.

Collections strategies support activities based on the following:

  • Your business requirements

  • Scoring rules

  • Alternative to dunning plans

  • To collect on delinquent transactions

  • Simple to complex collection activities

Note: You can use either strategies or dunning plans to manage your delinquencies, but not both methods.

Use strategies in the following way:

  • Associate with customers, accounts, or bill-sites depending on the data level you do business.

  • Leverage information from the Advanced Collections scoring engines that identifies delinquent transactions and score delinquent objects.

Setting Up Strategies

Setup your strategies in the following order:

  1. Create collections tasks.

  2. Create collections strategies.

  3. Assign collections method name.

  4. Assign task to strategies.

Strategy Processing and Results

To assign appropriate strategies to the collections objects, run the Strategy Management concurrent program for all the business units at once.

The strategies are based on the scoring engine results. The concurrent program results in the following:

  • Oracle SOA BPEL initiates and manages tasks and sends notifications to the designated person

  • Oracle BI Publisher sends correspondence

This exercise show you how to create a strategy, assign tasks, and assign them sequentially.

Strategies are a series of manual or automated tasks and linked together in the order they're to be executed. A strategy consists of the following:

  • Create Strategy Template Group: Used to define your general information about the strategy

  • Customer Segment: Identifies the grouping and unique attribute for this strategy

  • Strategies: Lists the various stages and scores for your strategy

  • Tasks: Lists the tasks in sequential order and defines the details for each

Create a Strategy

Navigation: Setup and Maintenance > All Tasks > Manage Collections Strategies> Go to Task icon > Manage Strategies

  1. From the Manage Collections Strategies section click Create icon.

  2. Enter the following information:

    Create Strategy Template Group page:

    Field Value

    Group Name

    US Customers

    Strategy Level

    Account

    Change Strategy per Tolerance

    No

    Enabled

    Yes

    Start Date

    Select the current date.

    End Date

    Blank

    Customer Segment section

    Field Value

    View Name

    Account

    Identifier

    ID

    Strategies section

    Field Value

    Method Name

    USA Strategy Good

    Lowest Applicable Score

    50

    Method Name (Add row icon)

    USA Strategy Bad

    Lowest Applicable Score

    0

    Tasks section: Select the USA Good Strategy

    Field Value

    Order

    10

    Name

    Friendly Phone Call

    Order

    20

    Name

    Friendly Phone Call

    Order

    30

    Name

    Friendly Phone Call

  3. Click Save and Close button

This example shows you how to create a manual task.

Each strategy is made up of one or more tasks. A task executed manually or automatically is driven by a workflow. The workflow notifies the collector to perform a task or initiates the automated process. Every task has an associated workflow.

Tasks are grouped by one of two work types:

  1. Manual: a task to be completed by a collector or specialist. When you complete the task it's closed from the queue. Manual tasks examples are a personal visit, phone call, or contact salesperson.

  2. Automatic: a task completed by an automated process. This includes tasks such as sending emails, faxes, or sending documents to be printed.

Create a Manual Task

Navigation: Setup and Maintenance > All Tasks > Manage Collections Strategy Tasks > Go to Task icon > Manage Strategy Tasks

  1. From the Strategy Tasks section click Create icon.

  2. Enter the following information:

    Field Value

    Enabled

    Checked

    Name

    Friendly phone call

    Description

    Customer is slightly past due, make friendly call

    Type

    Manual

    Category

    Phone Call

    How long will strategy wait until it executes this task?

    0 days

    How long will strategy wait after it executes this task?

    0 days

    Optional

    Y

    Days

    1 day

  3. Click Save and Close button.

Enable Collections Strategy for Individual Transactions

Generally, you can assign collections strategies at a client level. However, you may have business requirements to assign these strategies for individual transactions. To assign collections strategies for individual transactions, you must enable the Collections Strategies for Individual Transactions feature.

To enable this feature:

  1. Click Navigator > My Enterprise > Offerings.

  2. On the Offerings page, select Financials.

  3. Click Opt In Features.

  4. On the Opt In: Financials page, click the Features icon for Collections. A list of Collections features is displayed.

  5. Select the Enable check box for the Collections Strategies for Individual Transactions feature and save the changes.

Note: Before you enable this feature, you must enable these prerequisite features:
  • Collections Scoring and Strategy Assignments by Segment

  • Automatically Initiate or Fulfill Collections Tasks in Third Party Systems

Manage Collections Scoring and Strategy Assignments

Using Advanced Collections Scoring and Strategy Assignments by Segment feature you can do the following:

  • Manage the scoring and strategy assignments of your customers.

  • Increase your collections efficiency.

  • Improve the cash flow.

As a collector, you can categorize your customers based on various segments such as business unit, profile class, and remaining amount due. You can assign different scoring formulas and delinquent strategy groups to the customers, and collectors can define the pre-delinquency options. You can also assign the predelinquent strategy groups to the customers.

You can manage this feature from your work area and the Customer page. For example, you can view the multiple strategies running against the same customer under the Strategies tab on the Customer page. If the setup process is complete, the predelinquent strategies are also displayed on the landing page.

The assignments are defined as the default scoring formula. The delinquent strategy group assignments are defined at each business level. The scoring formulas and delinquent strategy groups are displayed automatically. You can change the groups to any scoring formulas or strategy groups that are defined based on your business requirements..

Define Scoring Formula and Delinquent Strategy Assignments by Segment

You can use the Manage Collections Scoring and Strategy Assignments task to define the scoring formula and delinquent strategy assignments. You must specify the segments and enter the detailed assignments in the Delinquent Strategy Assignments by Segment region under the Manage Collections Scoring and Strategy Assignments task. A segment is defined as a set or subset of various objects identified for scoring. The segmentation is implemented through each business unit and profile class, and define the segmentation for the Customer, Account, or Site business levels. For example, define the segment name Business Level + BU + Profile + High / Low Amount, for each segment including the default values.

Define the Amount Due Lower or Upper Threshold and the corresponding delinquent strategy groups to use when the amount due is below the lower threshold or above the upper threshold. You can define one, both, or none of the thresholds.

  • Amount Overdue Lower Threshold: The lower threshold for the customer's amount overdue below which the Below Threshold Strategy Group is used.

  • Below Threshold Strategy Group: The strategy group assignment when the customer's amount overdue is less than the Amount Overdue Lower Threshold.

  • Amount Overdue Upper Threshold: The upper threshold for the customer's amount overdue above which the Above Threshold Strategy Group is used.

  • Above Threshold Strategy Group: The strategy group assignment when the customer's amount overdue is more than the Amount Overdue Upper Threshold.

Here are the various scenarios to specify default scoring and strategy assignments:

  1. Scoring and strategy assignments for various business levels: You can set up the default scoring formula and strategy group for all the three business levels. The scores are calculated based on the default scoring formula for the business level of customers, and delinquent strategies which are assigned based on the default strategy group for each business level.

  2. Scoring and strategy assignments by business unit: The scoring formula is different based on your business unit. You can use different scoring formulas and strategy groups for the selected business units, and you can use one scoring formula and strategy group for the remaining business units.

  3. Scoring and strategy assignments by profile class: The delinquent customers who belong to the different profile classes, and their scores are calculated based on the different scoring formulas and the strategies are assigned based on the different strategy groups.

  4. Scoring and strategy assignments by amount overdue lower threshold: You can specify the amount overdue lower threshold for each business unit and the strategy groups for the below threshold. If a customer's amount remaining due is less than the amount overdue lower threshold, then the strategy group specified for the below threshold is assigned. Otherwise, by default the delinquent strategy group defined in the assignments is assigned.

  5. Scoring and strategy assignments by business unit and profile class: The scores are calculated based on the various scoring formula for that specific business unit and profile class, and the strategies are assigned based on the various strategy groups.

  6. Scoring and strategy assignments by amount overdue lower and upper thresholds:

    • If a customer's amount remaining due is less than the amount overdue lower threshold, then the strategy group specified for the below threshold is assigned.

    • If a customer's amount remaining due is more than the amount overdue upper threshold, then the strategy group specified for the above threshold is assigned. Otherwise, the delinquent strategy group defined in the assignments is assigned.

Define Predelinquent Strategy Assignments by Segment

Using the Collections Delinquency Management process you can identify the delinquency and pre-delinquency statuses for your customers, customer transactions, accounts, and sites based on the business level and pre-delinquency options.

Collections Scoring and Strategy Assignments Scheduled Process

After the Collections Delinquency Management process is successfully completed, run the second process Collections Scoring and Strategy Assignments. This process assigns the scoring formula based on the segmentation, calculate the scores, and then assign strategies also based on the segmentation.

To run the Scoring and Strategy Assignments Scheduled Process:

  1. Navigate to Scheduled Process.

  2. Click Schedule New Process.

  3. Enter or select the required parameters.

  4. Click Submit.

Note: You must enable the Manage Collections Scoring and Strategy Assignments before you run the process.

To run the Update Collections Summary Data:

This process refreshes the data on the Collections landing page that contains the details about delinquent customers and strategy tasks.

  1. Navigate to the Collections work area.

  2. The Collections work area is displayed with all the four infotiles information. Select the delinquent customer or account infotile:

    • The delinquent customers and the corresponding details of the customers are displayed by default.

    • The scores are calculated and delinquent strategies are assigned based on the Manage Scoring and Strategy Assignments by Segment setup data.

    • In addition, a predelinquent strategy is assigned to the customers that are predelinquent based on the setup information.

    • Run the Delinquent strategies and predelinquent strategies at the same time, since one customer may be delinquent and predelinquent at the same time.

  3. Select the Strategies tab to view the details of the strategies. In this case, both the strategies are running, and it displays the strategy type, and the name of the strategy assignment for reference.