Fulfillment-Based Consolidated Billing Terms

Define fulfillment-based consolidated billing terms to generate and deliver consolidated invoices upon completion of specific activities within a purchase order or contract.

To define fulfillment-based consolidated billing terms, complete these tasks:

• Prepare sales orders in Order Management and Subscription Management.
• Define a fulfillment-based consolidated billing terms record.
• Select the source transactions to include in consolidated invoices.
• Define transactions from the selected sources to exclude from consolidated invoices.

Prepare Sales Orders in Order Management and Subscription Management

Use Redwood pages in Order Management to create and update sales orders that can contain combinations of physical items, coverages, and subscriptions.

Note: You can only use Redwood pages in Order Management to create sales orders for delivery as consolidated billing invoices in Receivables. You cannot use the classic Order Management user interface.

Assign a billing set value to each sales order line that will become part of a fulfillment-based consolidated invoice. Receivables groups all lines with the same billing set value into a single invoice.

To create a sales order for consolidated billing in Receivables:

1. Navigate to the Redwood Order Management work area.
2. Open the redesigned Create Sales Order page.
3. Enter the Business Unit.
4. Enter the Customer, the Bill-to Customer Account, and the Customer Ship-to address.
   Note: For Receivables consolidated billing, the sales orders you create must be for customers that have the Consolidated Billing feature enabled on the respective customer account profiles.
5. Select the Additional order details link to open the Order Details window.
6. Navigate to the Billing section.
7. Enable the Bill Lines Together option to assign a default billing set value to each line in the sales order.

   As you add sales lines to the order, Order Management assigns these lines the same default billing set.

8. If you want to assign a sales line a different billing set value, in the Billing Set column select the Add Billing Set action and enter the new billing set.

   Use additional billing set values for greater flexibility in determining how to group sales lines for consolidated invoicing.

9. Complete the sales order according to your requirements.
10. Save your work.

Use Subscription Management to bill coverages and subscriptions that feed into the Order Management sales order. Schedule the Process Responses from Order Fulfillment process to process updates from Subscription Management for the lines assigned to a sales order billing set:

• Set the Fulfillment Response Type parameter to Process Lines Sent to Receivables by Subscription Management.
• Set the Record Set parameter to Process Records That Are Not Yet Processed. For failed records, set the value to Process Records That Failed.

Use the Wait to Process Updates from Subscription Management (ORA_FOM_WAIT_TO_PROCESS_SUBS_UPDATES) profile option to control how Order Management handles the updates received from Subscription Management when it interfaces billing set lines to Receivables:

• YES: Defer processing. Coverages and subscriptions are processed according to the scheduling of the Process Responses from Order Fulfillment process.
• NO: Process immediately. The Process Responses from Order Fulfillment process will run as soon as Order Management receives a response from Subscription Management.

Define Fulfillment-Based Consolidated Billing Terms

To define fulfillment-based consolidated billing terms:

1. Open the Consolidated Billing Terms workbook.
2. Select the Consolidated Billing Terms tab.
3. Select Table Row Changes > Insert Rows to add a new row.
4. In the Billing Terms Name and Description fields, enter a name and description that identify these billing terms.
5. In the Enabled field, select Yes.
6. In the Consolidation Method field, select Fulfillment-based.
7. In the Cut-off Date Basis field, select First Billable Line Date.

   This value is the transaction date of the first fulfilled charge line available for consolidation.

8. In the Cut-off Days field, enter the number of days after the transaction date of the first charge line fulfilled.

   The number of days after this transaction date becomes the cut-off date for generating a fulfillment-based consolidated invoice from all charge lines fulfilled by that date.

9. In the Transaction Date Handling field, select either:
   • Current Date: Uses the run date of the Import Receivables Transactions Using AutoInvoice process that creates the consolidated invoice as the transaction date and accounting date of the invoice.
   • Latest Fulfilled Line Date: Uses the date of the last charge line included in the consolidated invoice as the transaction date and accounting date of the invoice.
10. Select Upload Changes to save the consolidated billing terms record.
11. Select the Billing Inclusions tab.

    Use this tab to indicate which source transaction lines are to be included in invoices created from these billing terms. The available transaction sources are Order Management and Subscription Management.

12. Select Table Row Changes > Insert Rows to add a new row.
13. In the Billing Terms Name field, select the consolidated billing terms that you created in steps 1-10.
14. In the Transaction Batch Source field, select one of the transaction sources of the source transactions to include in consolidated invoices:
    • Distributed Order Orchestration
    • ORA_Subscriptions
15. If you want to include another transaction source, repeat steps 12-14 for the same billing terms record.
16. Select Upload Changes to save the billing inclusions record.
17. Select the Billing Exclusions tab.

    Use this tab to exclude specific sets of transactions from the transaction sources selected in the Billing Inclusions tab.

18. Select Table Row Changes > Insert Rows to add a new row.
19. In the Billing Terms Name field, select the consolidated billing terms.
20. In the Exclusion Type Code field, select the type of transactions to exclude from consolidation.

    Any charge lines matching the values defined here will be excluded from consolidation for customers associated with these billing terms.

    You can exclude transactions by:

    • Payment Terms
    • Receipt Method
    • Business Unit
    • Legal Entity
    • Unrelated Services
21. Complete the related field to identify the details of the exclusion:
    • Payment Terms: Transactions assigned the payment terms you enter.
    • Receipt Method: Transactions assigned the receipt method you enter.
    • Business Unit: Transactions belonging to the business unit you enter.
    • Legal Entity: Transactions belonging to the legal entity you enter.
    • Unrelated Services: Enter Yes (the default) to exclude charge lines for services that are not related to the consolidation process.
22. Select Upload Changes to save the billing exclusions record.
23. Assign your fulfillment-based consolidated billing terms record to the applicable customer account.