Overview of Project-Driven Supply Chain

Project managers and project accountants can use Project-Driven Supply Chain in Oracle Project Management to capture and manage supply chain costs as project expenditures without creating separate organizations for each project.

How Project-Driven Supply Chain captures project costs

The integration of Oracle Project Portfolio Management and Oracle Supply Chain enables supply chain products to support project attributes. These attributes allow supply chain costs to be captured as project expenditures.

Project Number and Task Number identify project-specific inventory and transactions. They can be used to segregate and value inventory and support project-specific transactions based on rules defined in Supply Chain Materials Management and the inventory organization.

Project attributes in supply chain execution documents

Project attributes are available on supply chain execution documents, including:

• Purchase requisitions
• Purchase orders
• Sales orders
• Transfer orders
• Manufacturing work orders
• Maintenance work orders

These project-specific execution documents follow the business rules defined for the project. Transactions associated with the documents that create a project commitment or actual cost retain the project attributes so that the costs can be posted as project expenditures.

The Project-Driven Supply Chain flow

The Project-Driven Supply Chain flow shows how project information connects supply chain transactions with project costing.

Here's an illustration that explains how the project-driven supply chain solution works.

Related setup and Project Costing activities

Before using Project-Driven Supply Chain, the required setup includes enabling the feature, enabling inventory tracking by project, setting up default expenditure types, and managing orchestration process definitions.

After Project-Driven Supply Chain is configured, Project Costing supports activities such as reviewing approved commitments, adjusting expenditure items, managing accounting, and managing burdening.

See the related setup and Project Costing topics for details about these activities.