Project-Specific Inventory for Segregating and Managing Material

You can use project-driven supply chain to manage project-specific material for multiple projects without having to create separate inventory organizations for each project. And, if you procure materials specifically for projects at project-specific price quotes, you can track the materials and their valuation by project.

You must first enable inventory tracking by project for your applicable organizations and set up your default expenditure types.

Use the segregate and manage project-specific inventory functionality to:

• Segregate and manage project-specific inventory

• Manage project-specific inventory costs

Segregate and Manage Project-Specific Inventory

The functionality for segregating and managing project-specific inventory enables you to:

• Track on-hand inventory by project and task for inventory organizations.

• Query and review for on-hand inventory based on project and task.

• Check item availability for project and task.

• Use the Create Miscellaneous Transaction task to issue or receive project and task.

• Use the Create Subinventory Transfer task to transfer project material.

• Use the Create Interorganization Transfer task to transfer project material across inventory organizations.

• Record cycle count sequences and approve the sequences for project material.

• Record physical inventory tags and approve the adjustments for project material.

• Move material across projects or tasks or between project and common inventory using the Create Project Transfer task.

  You can transfer inventory between projects, but within the same subinventory and locator.

• Query and view completed transactions by project and task using the Review Completed Transactions task.

• Automatically reserve project demand from sales orders, transfer orders, return transfer orders, and shipment requests, as well as create manual reservations from project or common inventory, or do a combination of both.

• Import costed and accounted transactions from supply chain as project expenditures into Oracle Project Portfolio Management.

  If the cost incurred against the project is a billable cost, you can bill your customer based on the completion percentage or milestones achieved on the project. If it's a cost that can be capitalized, you can proceed to run the capitalization flow.

• Choose to allocate costs to other projects, project tasks, or accounts as appropriate.

Note: Inventory organizations enabled for tracking by project can have both project-specific inventory and common inventory.

Manage Project-Specific Inventory Costs

You can cost project-specific inventory transactions and project transfer transactions.

You can use project and task as additional valuation structure attributes for maintaining tracking cost at the granular level. You can specify whether or not to send an expenditure to a project by setting up an exclusion for project cost collection by project types. Accordingly, the costed amounts for the miscellaneous receipts and miscellaneous issue transactions are sent as a credit or debit charge to the project. You can also manage project-specific accounting based on project attributes that are available as accounting sources.

You can import miscellaneous inventory transactions using the Import Costs process. This may include miscellaneous inventory transactions such as miscellaneous receipt or issue of project inventory, issue to project of project-specific inventory, receipt from project of project-specific inventory, project reclassification using project transfer transactions, and interorganization transfer of project-specific inventory.

Depending on the source transaction and the destination type, one or more of the following document entries for Miscellaneous Inventory document are created in Project Portfolio Management:

• Item cost

• Overhead

Use the Manage Project Costs task in Costs work area in Project Management to search and view expenditure item and project costing details associated to the miscellaneous inventory transactions.

From the Manage Costs page:

• Click on the transaction to open expenditure item details, including item number and description.

  Besides the specific attributes, supply chain transactions may also include the cost element that identifies the type of cost in the source system.

• Perform adjustments using the Actions menu.

  Adjustments performed in Project Portfolio Management aren't reflected in the source transaction. Also, note that you cannot perform reverse type of adjustment for these transactions.

You can view and adjust these costs in the Manage Cost Distributions task. You can resolve any cost exceptions using the Manage Unprocessed Costs task. If the project is enabled for same line burden, the transaction has the burden cost calculated. If it's a separate line burdened, the application creates a new expenditure item for the burden cost. On the Costing tab, you can view the distributions and drill down to view the journal entries.