Redwood: Create and Edit Cost Adjustments

You might need to manually change your item and receipt costs for various reasons, such as commodity price hikes, renegotiation with suppliers, changes to overhead allocation within your enterprise, or even to correct inaccurate costs entered due to oversight. You can now enter your cost adjustments, edit them, and submit them using the Redwood page. The page has two tabs, Cost Adjustments and Item and Receipt Costs.

Cost Adjustments 

This default tab is the landing page for cost adjustments. To ensure faster data retrieval, you must enter the cost organization, cost book, and date range for the adjustments as the search criteria to see results. By default, the date range is system date - 30 days, and can be changed based on your needs. You can view all cost adjustments irrespective of the adjustment type and the status in this tab. By default, the page shows pending cost adjustments and you can change the toggle to review cost adjustments in other statuses.

Cost Adjustments tab with pending adjustments

Cost Adjustments tab with pending adjustments

Additional filters are available for you to retrieve data based on your needs.

Filters for cost adjustments tab

Filters for cost adjustments tab

You can also see the Estimated Adjusted Value for every adjustment. This value is the total of estimated adjusted value from the details of this cost adjustment.

Estimated Adjusted Value = Remaining Receipt Quantity * (New Cost - Unit Cost)

For a pending cost adjustment, you can edit the cost adjustment before submitting it. 


Pending cost adjustment that can be edited and submitted

Pending cost adjustment that can be edited and submitted

While editing a pending cost adjustment detail, you can choose to enter:

  • New Cost
  • Amount Change
  • Percent Change

Edit cost adjustment detail by entering new cost, amount change or percent change

Edit cost adjustment detail by entering new cost, amount change or percent change

You can also delete a cost adjustment detail for a pending cost adjustment, if that cost adjustment detail is entered manually.

Delete cost adjustment detail

Delete cost adjustment detail

You can only edit and submit adjustments that are in the Pending status.

Processed adjustment can't be edited

Processed adjustment can't be edited

Item and Receipt Costs

This tab is your starting point to choose costs that you intend to adjust. To ensure fast data retrieval, you need to enter cost type, cost organization, cost book, and item.

Item and Receipt Costs tab displaying the perpetual average cost eligible for adjustment

Item and Receipt Costs tab displaying the perpetual average cost eligible for adjustment

Receipt costs data include receipts with and without costs by default and transaction date range search criteria

Receipt costs data include receipts with and without costs by default and transaction date range search criteria

Additional filters are available for you to filter the costs based on your needs.

Filters for item and receipt costs tab

Filters for item and receipt costs tab

After you select the cost, you can create a new cost adjustment using the Adjust button.

Panel drawer to create a new cost adjustment

Panel drawer to create a new cost adjustment

You can enter all the adjustment details and submit the cost adjustment to be processed by Cost Accounting or you can save the cost adjustment for further review.

Adjustment details

Adjustment details

Here are some of the benefits of this feature:

  • Optimize your enterprise's cost adjustment activity, prioritize reviewing or submitting pending adjustments, easily access the necessary information to understand the estimated adjustment impact, and avoid any oversight and delete cost adjustment details when you have entered the details manually.
  • Expedite your cost adjustment activity with faster data retrieval and utilize filters to restrict and review the data based on your business needs.

Steps to Enable

  1. In the Setup and Maintenance work area, search for and select the Manage Administrator Profile Values task.
  2. On the Manage Administrator Profile Values page, search for and select the ORA_CST_MANAGE_COST_ADJUSTMENTS_REDWOOD_ENABLED profile option code.
  3. In the Profile Values section, set the Site level to Yes. The default value is No.
  • Yes = enables the feature
  • No = disables the feature 
  1. Click Save and Close. Changes in the profile value will affect users the next time they sign in.

After you've set the profile value correctly, the task pane under Cost Accounting would show the task menu link as Cost Adjustments. Using this link, you can access the Redwood page.

Tips And Considerations

The pages support both guided journey and business rules.

Key Resources

  • Oracle Fusion Cloud SCM: Implementing Manufacturing and Supply Chain Materials Management Guide, available on the Oracle Help Center.
  • Oracle Fusion Cloud SCM: Using Cost Management Guide, available on the Oracle Help Center.

Access Requirements

Users who are assigned a configured job role that contains the following privilege can access this feature:

  • Create Cost Adjustment (CST_CREATE_COST_ADJUSTMENT)