Considerations for Integrating with Financial External Systems

Oracle Fusion Applications provides:

• Flexibility for external systems integration.

• Many spreadsheets as an easy method for entering and loading key setup data into the applications.

The following are some of the ways you might use external system integration.

• Tax and conversion rates

• Payroll processing

• Bank statement reconciliation

• Budget preparation

Tax and Conversion Rates

Tax rates may vary depending on the geographical location of the customer or supplier, the type of product, and other factors.

• If your tax rates do not change frequently:

  • Enter or copy a tax rate feed of new or updated tax rates into the spreadsheet loader.

  • Upload the spreadsheet.

Note: Similar processes are used for foreign exchange conversion rates, which can change daily.

• Few foreign currency transactions: Use the spreadsheet loader.

• Many foreign currency transactions: Use a supplier for a direct load into the Daily Rates open interface. The application validates the rows in the interface table and then makes changes in the Daily Rates table.

Payroll Processing

If you are processing your payroll using an application other than Oracle Fusion Global Payroll:

• Use a spreadsheet template to load the data and create a postable journal entry in the Oracle Fusion General Ledger.

• Post the journal entry to reflect the payroll expense on your financial statements.

Set up the file from the payroll system to summarizes payments by cost center rather than detailed employee data. Summarized balances data is the level of detail relevant for the financial reporting and provides the confidentiality required for payroll information,

Note: Oracle Fusion Financials marks the spreadsheet with clear error messages on the problematic rows, for example, a new cost center that must be setup, for ease of correction.

Bank Statement Reconciliation

Bank statements are often received daily and follow a fixed format. With Oracle Fusion Cash Management:

• Establish a transfer of the statements from the bank to the open interface.

• Run the automated process to load the bank statement file.

• Run the reconciliation process.

Note: If there are any errors in the file, the reconciliation process stops. The load process indicates the errors so you can follow up with the bank and receive a corrected file.

Budget Preparations

There are two approaches to preparing your budgets:

1. For simple budgeting:

   • Distribute the current actual results and prior budget numbers to the relevant finance professionals using spreadsheets.

   • Collect and consolidate the spreadsheets.

   • Load the spreadsheets to the Essbase cube.

   • Compare actual results against budgets using all of the Oracle Fusion Financials reporting and analysis tools, including Account Monitor, Account Inspector, Smart View, and Financial Reporting.

2. For more complex budgeting use Oracle Hyperion Planning on the Oracle Cloud, alongside Oracle Fusion Financials. Advantages include:

   • Advanced tools to handle complex budgeting scenarios.

   • Direct flow of data between the two applications.

   • Simplified distribution and collection of budget data.

Note: For more information on external data integration see: Oracle Financials Cloud Implementing Common Features for Financials guide: External Integration chapter: External Data Integration Services for Oracle Cloud.