Project Manufacturing Setup
Before beginning following conditions should be met
You must use Manufacturing Average Costing (WIP Weighted Average
Costing)
Set Profile Option CST: Average Costing to Inventory and WIP
1. In Project Mfg Responsibility, navigate to Project Definition ->
Projects
2. Create a Project
Use a Template.
Create a Work Breakdown Structure (WBS), Tasks, etc.
Save.
Change status to Active.
3. Navigate to Project Definition -> Budgets and create a budget
Save.
Submit Baseline.
4. Navigate to Setup -> Manufacturing -> Organization Parameters.
In Inventory Parameters, set Locator Control = Dynamic Entry
Allowed.
In Costing Information, set
i. Costing Method = Average
ii. Setup Average Rates Cost Type
iii. Default Material Sub-element = Material
iv. Enter your Valuation Accounts
In Project Information, check
i. Project Reference Enabled
ii. Project Cost Collection Enabled
5. Navigate to Cost -> Setup -> Cost Type to setup your Average Rates Cost
Type.
Cost Type = AvgRates.
Description = Resources and Overhead Rates used under Average
Costing
when Actuals are not entered in a discrete job.
Default Cost Type = Average.
Check Multi-Org.
Check Allow Updates.
Check Available to Engineering.
Check all Previous Level Rollup Options.
6. In Project Manufacturing Manager Responsibility:
Navigate to WIP -> Setup -> WIP Accounting Classes and
create a Project
WIP Accounting Class (if needed)
Type = Discrete.
7. Navigate to Cost -> Setup ->Cost Groups and create a Cost Group for
Projects.
The Common cost group is the only one defined in install.
If the Common Cost Group is used for Projects, it must be referenced. Project
Manufacturing does not automatically use it.
You can create your own cost group.
8. Navigate to Planning -> Setup -> Planning Group and create a Planning Group
for Projects (if needed)
9. Associate the Cost Group, Planning Group and WIP Accounting Class to the
Project
Navigate: Projects -> Project Definition -> Project Parameters.
Query up the Project.
Enter the cost group just created.
Enter the WIP Accounting Class (if needed)
Enter the Planning Group (if needed)
10. Enable Segments 19 and 20 of the Stock Locators Key Flexfield.
Navigate to Inventory -> Setup -> Flexfields -> Key -> Segments.
Query on Application = Oracle Inventory, Flexfield Title = Stock
Locators.
Click on the [Segment] button.
For Column Segment 19, Name = Project:
Validation
----------
Value Set: PJM_PROJECT
Default Type: SQL Statement
Default Value: SELECT
PJM_PROJECT_LOCATOR.PROJ_SE
G_DEFAULT
From [Link]
For Column Segment 20, Name = Task:
Validation
----------
Value Set: PJM_TASK
Default Type: SQL Statement
Default Value: SELECT
PJM_PROJECT_LOCATOR.TASK_SE
G_DEFAULT
FROM [Link]
11. Create a Project Subinventory
Navigate to Inventory -> Setup -> Organization -> Subinventories.
Check the following checkboxes:
Quantity Tracked.
Asset Subinventory.
Include in ATP.
Allow Reservations.
Nettable
Locator Control: This can be defined at:
The Organization level.
The Subinventory level.
The Item level.
In all cases, proper values are:
None.
Pre-Specified.
Dynamic Entry.
Other.
Picking Order = NULL
Inactive On = NULL
Setup the accounts needed.
Add locators to the Subinventory
12. Update the Project Parameters form with the Cost Group
Navigate to Projects -> Project Definition/Project Parameters.
Set the Cost Group. New projects are not automatically attached to the
common cost group.
13. Setup the Cost Element to Expenditure Type mapping
Navigate to Projects -> Setup -> Expenditure Types.
Navigate to Projects -> Setup -> Cost Elements to Expenditure Types.
Transfer In and Transfer Out Expenditure Types Mapping for each of
the five cost elements.
Navigate to Projects -> Setup -> Cost -> Sub-Elements.
Attach the proper defaults as needed.
14. Set up a Manufacturing Department in Oracle Bills of Material
15. Link Manufacturing Departments to Expenditure Organization. This enables
the manufacturing costs incurred on the heads of Resources, Overhead and
Outside Processing to be collected into the Expenditure Organization.
