Capture Transfer Order Costs in Projects

Capture project attributes on a transfer order to transfer project-specific material that can be sourced from common inventory or project inventory to meet project requirements.

Track the cost of the material received to the project, perform budget versus actual analysis, and capitalize the cost of the investment.

Project accountants and project managers can track commitments for internal material transfer orders and requisitions with inventory or expense destinations. Once the item is received, the committed costs are relieved and can be seen in Project Costing as actual cost after running Import Costs.

Here are the steps you need to perform:

1. Run the Update Project Performance Data process to review the committed costs for requisitions and transfer orders on the Manage Committed Costs page.

2. Import the transfer orders into Oracle Project Costing using the Import Costs process with the transaction source set as Oracle Fusion Cost management after the item is shipped and the transaction is accounted and costed in Oracle Cost Management.

3. After importing the transactions, you can view them on the Manage Project Costs page when you filter by Document = Transfer Order Delivery and Transaction Source = Oracle Fusion Cost Management.

4. Then, add the Transfer Order Number, Shipment Number, and Cost Element references as columns via the View menu on the Manage Project Costs page to identify the transaction source.

5. You can view these references on the Manage Unprocessed Costs page.

6. You can search by Transfer Order Number or Shipment Number on the Manage Cost Distribution page.

Project accountants and project managers can open the expenditure item to view the complete transactions details, including the source document. You can perform one or more adjustments on one or multiple expenditure items using the action menu on the Manage Project Costs page. Adjustments you perform in Oracle Project Costing won't be reflected in the source supply chain transaction.

Optionally, you can perform intercompany, burden and cost allocation business functions on expenditures items incurred from supply chain activities. You can also view and adjust these transactions in the Manage Cost Distributions task, and any cost exception can be resolved using the Manage Unprocessed Costs task.

Considerations for Capturing Transfer Order Costs in Projects

• The expenditure item date of the transfer order is the shipment date.

• You can't perform reverse type of adjustments for transfer orders.

• Project Costing receives the cost of the item as defined in Cost Management.

• Project Costing doesn't support budgetary control for inventory destination type of transfer orders. Inventory destination type purchase orders are subjected to ledger control budgets and not to project control budgets.

• Project Costing supports budgetary control for expense destination type of transfer orders.

• Project Costing doesn't support billing by material item and service item.

• You can't delete a project task that has a transfer order.

• You can't move or copy existing tasks or directly create subtasks under a task that has a transfer order.