How Electronic Invoices Are Processed

Oracle Fusion Payables provides an inbound flow for receiving invoices from suppliers electronically in industry standard XML. Oracle Fusion Collaboration Messaging Framework (CMK) is used to set up business to business (B2B) messaging between customer and suppliers.

Collaboration Messaging Framework

Oracle Fusion Collaboration Messaging Framework (CMK) provides a simplified way to set up B2B communication within the procure-to-pay business flow. CMK supports messaging with trading partners directly using web services, or through Service Providers such as Oracle Business Network.

After receiving the electronic invoice from suppliers, CMK transforms the payload from the external document format to the Payables invoice format. The transformed payload is inserted into the Payables Invoices Interface tables. The Import Payables Invoices process imports the invoices into the base tables.

How Electronic Invoices Are Processed

This figure shows the data flow for the electronic invoice process.

This table describes the process flow in more detail.

Performed By	Description
Supplier	Signs in to Oracle Business Network and uploads the invoice payload, that contains one or more invoices in XML format.
OBN	Passes the invoice payload to CMK.
CMK	Transforms the XML payload into the web service format and calls the Invoice Interface Service.
Invoice Interface Service	Takes the transformed invoice payload and inserts data into the Payables interface tables: AP_INVOICES_INTERFACE and AP_INVOICE_LINES_INTERFACE.
Payables supervisor	Submits the Import Payables Invoices process with a Source of B2B XML invoice. Alternatively, the process is scheduled to run automatically.
Import Payables Invoices process	Creates Payables invoices from invoice records that successfully pass import validations.
Internal Payables user	Reviews the report generated by the Import Payables Invoices process and identifies import rejections. Updates the interface table data using the Correct Import Errors spreadsheet and resubmits the import process. Rejections that occur due to supplier errors are automatically sent to the supplier by email for correction. The supplier has to resend the invoice payload after they have been corrected. Therefore, the invoices don't appear in the Correct Import Errors spreadsheet. The following is a list of rejections that the supplier is automatically notified when they occur: Billed quantity is less than zero Can match to only one line Duplicate invoice number Duplicate line number Inconsistent currency information Inconsistent PO line information Inconsistent PO supplier information Inconsistent price and quantity Invalid invoice amount Invalid item Invalid PO information Invalid PO number Invalid PO release information Invalid PO release number Invalid PO schedule Invalid quantity Invalid unit price Missing PO number No PO line number No blanket PO release information Invalid PO line number No PO schedule number Note: If the supplier email isn't available, then no email is sent to the supplier. The invoices must be corrected using the Correct Import Errors spreadsheet. If the XML payload has any email, the application picks it up and sends the rejected invoice to that email, and excludes the invoice from the Correct Import Errors spreadsheet. Ensure that XML payload has no emails if all import errors must be in the Correct Import Errors spreadsheet.
Payables supervisor	Runs or schedules the processes that validate and creates the accounting for the invoices that imported successfully.

The XML invoice process has the following limitations:

• All invoices in one XML message must be from the same supplier and supplier site.

• Tax only invoices aren't supported.

• The order of the invoice lines within an invoice in the invoice payload might not be preserved. For invoices created from the payload, item lines appear first, followed by charge lines, and then tax lines.

• The following invoices structures are supported:

  • Invoice with header and item lines

  • Charges at header or line level

  • Taxes at header or line level