You are on page 1of 157

Version 3

Sikandar Hayat Awan


Pakistan

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

SEND US YOUR COMMENTS


The document is composed by using Oracle R12 (RU3 with Global HRMS Patch Applied) on
Linux Red Hat AS 4 update 5 so you may find minor differences of screens or options if you are
not using the same version of Oracle Applications. Please suggest if you think any major feature
is missing and you think that should also be part of this document.
You can post your feedback directly on the web site www.erpstuff.com or email to
admin@erpstuff.com. If both options are not working due to any reason then please email
directly to sikandar_h@hotmail.com.
Your comments and feedback will be really appreciated.
Thanks

All Rights Reserved 2006-08

2/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Preface
Anyone who is interested to learn, teach Oracle HRMS and Payroll can use this document for
his/her as a basic reference document. Although the document will cover most of the required
but this is not the whole Oracle HRMS. So please consider it as a basic or reference document.
I will also recommend reading the Oracle Documentation provided by Oracle of each module.
Pre Requisites
o Oracle Applications R12 RU3 instance access
o Human Resource Concepts
Document Change Log

Date
21-Jan-08

All Rights Reserved 2006-08

Version
3

Description
HRMS and Payroll incorporated.

3/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Contents
CONTENTS .................................................................................................................................................................................. 4
WORK STRUCTURES ............................................................................................................................................................... 7
1 - RESPONSIBILITY & USER.............................................................................................................................................. 8
1.
2.

DEFINE HRMS RESPONSIBILITY .......................................................................................................................................... 8


HRMS USER DEFINITION .................................................................................................................................................... 9

2 - KEY FLEXFIELDS DEFINITIONS ................................................................................................................................. 12


1.
2.
3.
4.
5.
6.

GRADE KEY FLEXFIELD DEFINITION ................................................................................................................................... 12


JOB KEY FLEXFIELD DEFINITION ........................................................................................................................................ 18
COST ALLOCATION KEY FLEXFIELD DEFINITION.................................................................................................................. 25
POSITION KEY FLEXFIELD DEFINITION ............................................................................................................................... 28
PEOPLE GROUP KEY FLEXFIELD DEFINITION ....................................................................................................................... 33
COMPETENCE KEY FLEXFIELD DEFINITION .......................................................................................................................... 37

3 - KEY FLEXFIELDS VALUES ............................................................................................................................................. 46


1.
2.
3.
4.
5.

GRADE KEY FLEXFIELD VALUES .......................................................................................................................................... 46


JOB KEY FLEXFIELD VALUES............................................................................................................................................... 48
POSITION KEY FLEXFIELD VALUES...................................................................................................................................... 51
PEOPLE GROUP KEY FLEXFIELD VALUES ............................................................................................................................. 54
COMPETENCE KEY FLEXFIELD VALUES ................................................................................................................................ 56

4 - LOCATION.......................................................................................................................................................................... 61
1.

LOCATION DEFINITION ...................................................................................................................................................... 61

5 - BUSINESS GROUP (BG) ................................................................................................................................................ 61


1.

BUSINESS GROUP (BG) DEFINITION .................................................................................................................................. 63

6 - PROFILES ........................................................................................................................................................................... 72
1.
2.
3.

SETTING HR: SECURITY PROFILE ...................................................................................................................................... 72


SETTING HR:BUSINESS GROUP PROFILE ............................................................................................................................ 73
SETTING HR:USER TYPE PROFILE ..................................................................................................................................... 74

7 - ORGANIZATIONS ............................................................................................................................................................ 76
1.

DEPARTMENTS (HR ORGANIZATION) DEFINITION .............................................................................................................. 76

8 - JOBS CREATION .............................................................................................................................................................. 79


1.

JOBS ENTRY ...................................................................................................................................................................... 79

9 - POSITIONS CREATION ................................................................................................................................................. 81


1.

POSITIONS ENTRY ............................................................................................................................................................. 81

10 - GRADES CREATION ...................................................................................................................................................... 85


1.

GRADES ENTRY ................................................................................................................................................................. 85

11 - POSITION HIERARCHIES........................................................................................................................................... 87
1.
2.

POSITION HIERARCHY DEFINITION .................................................................................................................................... 87


POSITION DIAGRAMMER .................................................................................................................................................... 92

PEOPLE MANAGEMENT ........................................................................................................................................................ 93


12 - EMPLOYEE CREATION ................................................................................................................................................. 94
4/157
All Rights Reserved 2006-08

Oracle Applications R12 HRMS & Payroll


1.

www.erpstuff.com

EMPLOYEE CREATION ........................................................................................................................................................ 94

PAYROLL SETUP ................................................................................................................................................................... 102


13 - INTRODUCTION TO ORACLE PAYROLL ............................................................................................................... 103
1.
2.
3.
4.
5.
6.
7.
8.

QUICKPAY ....................................................................................................................................................................... 103


BATCH PROCESSING ........................................................................................................................................................ 103
PAYMENT METHODS ........................................................................................................................................................ 103
CURRENCY ...................................................................................................................................................................... 103
PAYROLL(S) .................................................................................................................................................................... 103
PAY DATE / CHEQUE (CHECK) DATE ................................................................................................................................ 103
SCHEDULED RUN ............................................................................................................................................................. 103
CUT OFF DATE ................................................................................................................................................................ 104

14 - CONSOLIDATION SET ............................................................................................................................................... 105


1.

DEFINE CONSOLIDATION SET .......................................................................................................................................... 105

15 - PAYMENT METHODS .................................................................................................................................................. 106


1.

DEFINE PAYMENT METHODS ............................................................................................................................................ 106

16 - ELEMENTS...................................................................................................................................................................... 108
1.
2.
3.
4.
5.
6.

DEFINE ELEMENTS ........................................................................................................................................................... 108


DEFINING AN ELEMENT'S INPUT VALUES .......................................................................................................................... 110
ELEMENT FOR COLA (COST OF LIVING ALLOWANCE) ....................................................................................................... 112
ELEMENT FOR COLA (COST OF LIVING ALLOWANCE) ....................................................................................................... 113
ELEMENT FOR COMPANY CAR ........................................................................................................................................... 115
ELEMENT FOR MONTHLY SALARY...................................................................................................................................... 116

17 - SALARY BASIS ............................................................................................................................................................. 118


1.

DEFINE SALARY BASIS ..................................................................................................................................................... 118

18 - PAYROLL ........................................................................................................................................................................ 120


1.

DEFINE PAYROLL ............................................................................................................................................................. 120

19 - ELEMENT LINK ............................................................................................................................................................. 123


1.
2.
3.
4.
5.

DEFINE ELEMENT LINK .................................................................................................................................................... 123


LOCATION ALLOWANCE ELEMENT LINK ............................................................................................................................. 123
COLA ELEMENT LINK ...................................................................................................................................................... 124
COMPANY CAR ELEMENT LINK.......................................................................................................................................... 125
UNION FUND DEDUCTION ELEMENT LINK ......................................................................................................................... 130

SALARY ADMINISTRATION ............................................................................................................................................. 132


20 - SALARY ADMINISTRATION..................................................................................................................................... 133
1.
2.

SALARY BASIS AND PAYROLL ASSIGNMENTS ..................................................................................................................... 133


SALARY ADMINISTRATION ................................................................................................................................................ 137

PAYROLL PROCESSING ..................................................................................................................................................... 141


21 - PAYROLL PROCESSING INTRODUCTION ........................................................................................................... 142
1.
2.
3.
4.
5.
6.
7.

PAYROLL PROCESSES ....................................................................................................................................................... 142


PROCESSING ACTIVITIES ................................................................................................................................................. 142
RETRO PAY & ADVANCE PAY ........................................................................................................................................... 142
PROCESS ROLLBACK ........................................................................................................................................................ 142
RETRY A PAYROLL RUN .................................................................................................................................................... 143
REVERSING A PAYROLL RUN............................................................................................................................................. 143
PAYMENT INVOICE ........................................................................................................................................................... 143

All Rights Reserved 2006-08

5/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

22 - QUICKPAY ..................................................................................................................................................................... 144


1.

QUICKPAY ....................................................................................................................................................................... 144

23 - BATCH PROCESSIING ............................................................................................................................................... 151


1.
2.
3.
4.

PAYROLL RUN PROCESS ................................................................................................................................................... 151


PREPAYMENT PROCESS .................................................................................................................................................... 153
COSTING PROCESS .......................................................................................................................................................... 154
TRANSFER TO GL ............................................................................................................................................................ 155

All Rights Reserved 2006-08

6/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Work
Structures

All Rights Reserved 2006-08

7/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1 - Responsibility & User


1. Define HRMS Responsibility
1.1.

To define HRMS responsibility open the Responsibilities screen,


Sys Admin: Security > Responsibility > Define

1.2.

Enter the following information on the screen,


Field

Value

Responsibility Name

XX HRMS

Application

Human Resources

Responsibility Key

XX_HRMS

Description

XX HRMS Super User

Effective Date From

Default (Current Date)

Data Group Name

Standard

Data Group Application

Human Resources

Menu

GLB SHRMS Navigator

Request Group Name

Global SHRMS Reports & Process

Request Group Application

Human Resources

All Rights Reserved 2006-08

8/157

Oracle Applications R12 HRMS & Payroll

1.3.

www.erpstuff.com

Save the data.

2. HRMS User Definition


2.1.
2.2.

The next step is to assign the above defined responsibility to a user who will have
access to HRMS. Here instead of creating a new user we will assign the responsibility
to our earlier created user at the time of GL configuration that is XX USER.
Open the Users form,
Sys Admin: Security > User > Define

2.3.

After searching the XX USER we will attach the Responsibility XX Fixed Assets created
above with this user.
Field

Value

Responsibility

XX HRMS

Application

Human Resources

Security Group

Standard

All Rights Reserved 2006-08

9/157

Oracle Applications R12 HRMS & Payroll

2.4.
2.5.

www.erpstuff.com

Save the data.


Switch the responsibility to XX HRMS responsibility and you will get the following
menu.

All Rights Reserved 2006-08

10/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

11/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2 - Key Flexfields
Definitions
Points to Consider
Before creating Key Flexfields consider the following points,
o
o
o
o
o
o
o

Plan the Structure


Plan number of segments of each Key Flexfield
Segment Size
Segment Values
Validations
Naming Conventions
Future Changes Considerations

1. Grade Key Flexfield Definition


1.1.

Open the Key Flexfield Segments form,


Sys Admin: Application > Flexfield > Key > Segments

1.2.
1.3.
1.4.

Search for Grade Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

All Rights Reserved 2006-08

Value
XX_GRADE_FLEXFIELD
XX GRADE FLEXFIELD
XX Grade Flexfield for demo.

12/157

Oracle Applications R12 HRMS & Payroll

1.5.

www.erpstuff.com

Click Segments (button),


Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
1
Grade Name
Grade Name
SEGMENT1

13/157

Oracle Applications R12 HRMS & Payroll

1.6.

www.erpstuff.com

Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_GRADENAME_VS
XX Grade Name value set for demo.
List of Values
No Security
Char
20
Checked (Yes)
Independent

14/157

Oracle Applications R12 HRMS & Payroll

1.7.
1.8.
1.9.

www.erpstuff.com

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.
In the 2nd lines enter following information,
Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
2
Grade Level
Grade Level
SEGMENT2

15/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.10. Click Value Set Open (button) and enter following information,
Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_GRADELEVEL_VS
XX Grade Level value set for demo.
List of Values
No Security
Char
2
Checked (Yes)
Independent

16/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.11.
1.12.

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.

1.13.
1.14.

Save and close the screen.


Enable Freeze Flexfield Definition and Allow Dynamic Inserts checkboxes.

All Rights Reserved 2006-08

17/157

Oracle Applications R12 HRMS & Payroll

1.15.

www.erpstuff.com

Click OK (button) and close the form. The Flexfield will be compiled.

1.16. Click OK (button).

1.17. Click OK (button).

2. Job Key Flexfield Definition


2.1.

Open the Key Flexfield Segments form

All Rights Reserved 2006-08

18/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Sys Admin: Application > Flexfield > Key > Segments


2.2.
2.3.
2.4.

Search for Job Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

2.5.

Value
XX_JOB_FLEXFIELD
XX JOB FLEXFIELD
XX JOB Flexfield for demo.

Click Segments (button),


Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
1
Job Name
Job Name
SEGMENT1

19/157

Oracle Applications R12 HRMS & Payroll

2.6.

www.erpstuff.com

Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_JOB_NAME_VS
XX JOB Name value set for demo.
List of Values
No Security
Char
20
Checked (Yes)
Independent

20/157

Oracle Applications R12 HRMS & Payroll

2.7.
2.8.
2.9.

www.erpstuff.com

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.
In the 2nd lines enter following information,
Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
2
Job Code
Job Code
SEGMENT2

21/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2.10. Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_JOB_CODE_VS
XX JOB Code value set for demo.
List of Values
No Security
Char
20
Checked (Yes)
Dependent

22/157

Oracle Applications R12 HRMS & Payroll

2.11.

www.erpstuff.com

Save the data and click Edit Information (button) and enter the following information.
Field
Independent Value Set Name
Description
Dependent Default Value
Description

All Rights Reserved 2006-08

Value
XX_JOB_NAME_VS
Will be auto displayed.
NONE
None

23/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2.12.

Enter the Value Set name in the Value Set field on segments Summary screen.

2.13.
2.14.

Save and close the screen.


Enable Cross-Validation Segments, Allow Dynamic Inserts and Freeze
Flexfield Definition checkboxes.

All Rights Reserved 2006-08

24/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: The next few screens are same as covered in the Grade section.

3. Cost Allocation Key Flexfield Definition


3.1.

Open the Key Flexfield Segments form


Sys Admin: Application > Flexfield > Key > Segments

3.2.
3.3.
3.4.

Search for Cost Allocation Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

All Rights Reserved 2006-08

Value
XX_COST_ALLOCATION_FLEXFIELD
XX COST ALLOCATION FLEXFIELD
XX Cost Allocation Flexfield for demo.

25/157

Oracle Applications R12 HRMS & Payroll

3.5.

www.erpstuff.com

Click Segments (button),

Note: Here we will use Value Set we defined for General Ledger.
Field
Number
Name
Windows Prompt
Column
Value Set
Flexfield Qualifier

1
Cost Center
Cost Center
SEGMENT1
XX_Cost_Center
Organization

Values
2
Account Code
Account Code
SEGMENT2
XX_Accounts
Element

Note: To assign Flexfield Qualifier you will have to save the data first.

All Rights Reserved 2006-08

26/157

Oracle Applications R12 HRMS & Payroll

3.6.

Save and assign Flexfield Qualifiers.

3.7.

Save and assign Flexfield Qualifiers.

www.erpstuff.com

Note: The Cost Center segment will be displayed in organization costing information while
the Account Code will be assigned at the time of element creation.
All Rights Reserved 2006-08

27/157

Oracle Applications R12 HRMS & Payroll

3.8.

www.erpstuff.com

Enable Freeze Flexfield Definition checkbox.

Note: The next few screens are same as covered in the Grade section.

4. Position Key Flexfield Definition


4.1.

Open the Key Flexfield Segments form


Sys Admin: Application > Flexfield > Key > Segments

4.2.
4.3.
4.4.

Search for Position Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

4.5.

Value
XX_POSITION_FLEXFIELD
XX POSITION FLEXFIELD
XX Position Flexfield for demo.

Click Segments (button),


Field
Number
Name

All Rights Reserved 2006-08

Value
1
Position Name
28/157

Oracle Applications R12 HRMS & Payroll

Windows Prompt
Column

4.6.

www.erpstuff.com

Position Name
SEGMENT1

Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_POSITIONNAME_VS
XX Position Name value set for demo.
List of Values
No Security
Char
30
Checked (Yes)
Independent

29/157

Oracle Applications R12 HRMS & Payroll

4.7.
4.8.
4.9.

www.erpstuff.com

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.
In the 2nd lines enter following information,
Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
2
Position Region
Position Region
SEGMENT2

30/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.10. Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_POSITIONREGION_VS
XX Position Region value set for demo.
List of Values
No Security
Char
20
Checked (Yes)
Independent

31/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.11.
4.12.

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.

4.13.
4.14.

Save and close the screen.


Enable Allow Dynamic Inserts and Freeze Flexfield Definition checkboxes.

All Rights Reserved 2006-08

32/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: The next few screens are same as covered in the Grade section.

5. People Group Key Flexfield Definition


5.1.

Open the Key Flexfield Segments form


Sys Admin: Application > Flexfield > Key > Segments

5.2.
5.3.
5.4.

Search for People Group Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

All Rights Reserved 2006-08

Value
XX_PEOPLE_GROUP_FLEXFIELD
XX PEOPLE GROUP FLEXFIELD
XX People Group Flexfield for demo.

33/157

Oracle Applications R12 HRMS & Payroll

5.5.

www.erpstuff.com

Click Segments (button),


Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
1
Union
Union
SEGMENT1

34/157

Oracle Applications R12 HRMS & Payroll

5.6.

www.erpstuff.com

Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_UNION_VS
XX Union value set for demo.
List of Values
No Security
Char
30
Checked (Yes)
Independent

35/157

Oracle Applications R12 HRMS & Payroll

5.7.
5.8.

www.erpstuff.com

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.

Save and close the screen.


5.10. Enable Allow Dynamic Inserts and Freeze Flexfield Definition checkboxes

5.9.

All Rights Reserved 2006-08

36/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: The next few screens are same as covered in the Grade section.

6. Competence Key Flexfield Definition


6.1.

Open the Key Flexfield Segments form


Sys Admin: Application > Flexfield > Key > Segments

6.2.
6.3.
6.4.

Search for Competence Flexfield.


Insert a new record by selecting New from the toolbar.
Enter the following information,
Field
Code
Title
Description (Optional)

All Rights Reserved 2006-08

Value
XX_COMPETENCE_FLEXFIELD
XX COMPETENCE FLEXFIELD
XX Competence Flexfield for demo.

37/157

Oracle Applications R12 HRMS & Payroll

6.5.

www.erpstuff.com

Click Segments (button),


Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
1
Skill
Skill
SEGMENT1

38/157

Oracle Applications R12 HRMS & Payroll

6.6.

www.erpstuff.com

Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_SKILL_VS
XX Skill value set for demo.
List of Values
No Security
Char
30
Checked (Yes)
Independent

39/157

Oracle Applications R12 HRMS & Payroll

6.7.
6.8.
6.9.

www.erpstuff.com

Save and close the screen.


Enter the Value Set name in the Value Set field on segments Summary screen.
In the 2nd lines enter following information,
Field
Number
Name
Windows Prompt
Column

All Rights Reserved 2006-08

Value
2
Level
Level
SEGMENT2

40/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

6.10. Click Value Set (button) and enter following information,


Field
Value Set Name
Description
List Type
Security Type
Format Type
Maximum Size
Uppercase Only (A-Z)
Validation Type

All Rights Reserved 2006-08

Value
XX_SKILLLEVEL_VS
XX Skill Level value set for demo.
List of Values
No Security
Char
30
Checked (Yes)
Dependent

41/157

Oracle Applications R12 HRMS & Payroll

6.11.

www.erpstuff.com

Save the data and click Edit Information (button) and enter the following information.
Field
Independent Value Set Name
Description
Dependent Default Value
Description

All Rights Reserved 2006-08

Value
XX_SKILL_VS
Will be auto displayed.
1
1

42/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

6.12.

Enter the Value Set name in the Value Set field on segments Summary screen.

6.13.
6.14.

Save and close the screen.


Enable Freeze Flexfield Definition checkbox.

All Rights Reserved 2006-08

43/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

6.15.

I received the above error as I had not assigned the following Flexfield Qualifier.

6.16.

I have confirmed the Flexfield and it is not Freezed as below,

All Rights Reserved 2006-08

44/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: The next few screens are same as covered in the Grade section.
Check the status of all requests and all should be completed with Normal status.

All Rights Reserved 2006-08

45/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

3 - Key Flexfields Values


So for we have created Key Flexfields but not yet populated the value sets of these Key
Flexfields. Now we will insert values in the value sets one by one.

1. Grade Key Flexfield Values


1.1.

Open the Key Flexfield Values form


Sys Admin: Application > Flexfield > Key > Values

1.2.

Select Value Set in Find Values By region and enter XX_GRADENAME_VS in the
names field.

1.3.
1.4.

Click Find (button).


Enter the following information,
Grade
EXECUTIVE
MANAGEMENT
SUPERVISOR

All Rights Reserved 2006-08

46/157

Oracle Applications R12 HRMS & Payroll

1.5.

www.erpstuff.com

Save the information and search for XX_GRADELEVEL_VS and enter the following
information.
Levels
1
2
3
4

All Rights Reserved 2006-08

47/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2. Job Key Flexfield Values


2.1.

Open the Key Flexfield Values form


Sys Admin: Application > Flexfield > Key > Values

2.2.
2.3.

Search XX_JOB_NAME_VS value set.


Enter the following information,
Job
MANAGER
DEPUTY MANAGER
SUPERVISOR
CEO

All Rights Reserved 2006-08

Job Code
MG
DM
SR
CO

48/157

Oracle Applications R12 HRMS & Payroll

2.4.

www.erpstuff.com

Save data and search for XX_JOB_CODE_VS to enter Job Codes.

All Rights Reserved 2006-08

49/157

Oracle Applications R12 HRMS & Payroll

2.5.

www.erpstuff.com

Save data and click in the header and user up/down arrow keys to move to different
values of Job Name. Do this for all values and assigned job code.

All Rights Reserved 2006-08

50/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

3. Position Key Flexfield Values


3.1.

Open the Key Flexfield Values form


Sys Admin: Application > Flexfield > Key > Values

3.2.

Search XX_POSITIONNAME_VS.

All Rights Reserved 2006-08

51/157

Oracle Applications R12 HRMS & Payroll

3.3.
3.4.

www.erpstuff.com

Click Find (button).


Enter the following information,
Position
CEO
MANAGER IT
MANAGER FN
MANAGER HR
DEPUTY MANAGER IT
DEPUTY MANAGER FN
DEPUTY MANAGER HR
SENIOR DBA
ACCOUNT OFFICER FN
RECRUITMENT OFFICER

All Rights Reserved 2006-08

52/157

Oracle Applications R12 HRMS & Payroll

3.5.

www.erpstuff.com

Save and then search XX_POSITIONREGION_VS.

Position
NORTH
All Rights Reserved 2006-08

53/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

SOUTH
EAST
WEST

4. People Group Key Flexfield Values


4.1.

Open the Key Flexfield Values form


Sys Admin: Application > Flexfield > Key > Values

4.2.

Search XX_UNION_VS.

All Rights Reserved 2006-08

54/157

Oracle Applications R12 HRMS & Payroll

4.3.

www.erpstuff.com

Enter the following information,


Values
MUSLIM LEAGUE
PEOPLE PARTY
JAMAT-E-ISLAMAI
NONE

All Rights Reserved 2006-08

55/157

Oracle Applications R12 HRMS & Payroll

4.4.

www.erpstuff.com

Save the data.

5. Competence Key Flexfield Values


5.1.

Open the Key Flexfield Values form


Sys Admin: Application > Flexfield > Key > Values

5.2.
5.3.

Search for XX_SKILL_VS.


Enter the following information,
Skill
ANALYSIS
TECHNICAL
FUNCTIONAL
COMMUNICATION
PRESENTATION

All Rights Reserved 2006-08

Level (1 = low, 5 = high)


1~5
1~5
1~5
1~5
1~5

56/157

Oracle Applications R12 HRMS & Payroll

5.4.

www.erpstuff.com

Save the data and search for XX_SKILLLEVEL_VS.

All Rights Reserved 2006-08

57/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

58/157

Oracle Applications R12 HRMS & Payroll

5.5.

www.erpstuff.com

Save the data and then click in the Independent Value and press down arrow key.

All Rights Reserved 2006-08

59/157

Oracle Applications R12 HRMS & Payroll

5.6.

www.erpstuff.com

Save the data and then click in the Independent Value and press down arrow key and
enter for all the Skill.

All Rights Reserved 2006-08

60/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4 - Location
1. Location Definition
1.1.
1.2.
1.3.

Assign Global Super HRMS Manager responsibility to XX USER.


Switch to HRMS responsibility.
To define location open the location form,
HRMS: Work Structures > Location

Note: Uncheck the Global check box if you want the location to only be available within the
default Business Group of your current responsibility. Accept the default if you want the
location to be a global location and therefore available to all Business Groups. If you are
setting up a global location, the location name must be unique across all Business Groups.

1.4.
1.5.

Enter address and Save the data.


Close the form.

5 - Business Group (BG)


All Rights Reserved 2006-08

61/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

A Business Group (BG) holds information about the components of work structures such as
jobs, grades and positions. At the BG level we set up the legislative rules, terms of employment,
remuneration policies and employee work patterns. Oracle HRMS provides the flexibility to
define enterprise the following four basic configurations models,
1
2
3
4

A single operating company in one country.


A single operating company in multiple countries.
Multiple operating companies in one country.
Multiple operating companies in multiple countries.

We will create only one BG for demonstration while you can create more than one BGs in your
enterprise to keep sets of data separated. The major reason for creating many business groups
is that your enterprise is present in many countries. The other reasons for creation of more than
one BG are,
o During acquisitions or mergers there is a need to manage separate structures and
processes during a transition phase.
o To keep a copy of your live system with example records for training or testing purposes.
o You are a holding company with a number of subsidiary companies and each subsidiary
has its own structures, employees, and compensation and benefit policies.

All Rights Reserved 2006-08

62/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Organization Structure
XX COMPANY
Business Group
HR Organization
CEO

XX IT
Information Technology
HR Organization

XX FN
Finance Department
HR Organization

XX HR
Human Resource Department
HR Organization

Positions:
Manager IT
Deputy Manager IT
Senior DBA

Positions:
Manager FN
Deputy Manager FN
Account Officer FN

Positions:
Manager HR
Deputy Manager HR
Recruitment Officer

1. Business Group (BG) Definition


1.1.

Open the Description form,


HRMS: Work Structures > Organization > Description

1.2.

Click New (A) (button),

All Rights Reserved 2006-08

63/157

Oracle Applications R12 HRMS & Payroll

1.3.

Enter the following information in the header of screen,


Field
Name
Type
Location
Internal or External

1.4.
1.5.

www.erpstuff.com

Value
XX COMPANY
Company
XX Location
Internal

Before moving into Organization Classification region save the information.


Select Business Group from the LOV in the Name field.
Field

All Rights Reserved 2006-08

Value
64/157

Oracle Applications R12 HRMS & Payroll

Organization Classifications
Name
Enabled

1.6.

www.erpstuff.com

Business Group
;

Save the information and then click Others (button) to enter Business Group
information.

Note: The * on the start denotes the mandatory information and you will have to provide
information while all others are optional.
1.7.

Select Business Group Info from the displayed LOV and click OK (button.

All Rights Reserved 2006-08

65/157

Oracle Applications R12 HRMS & Payroll

1.8.

www.erpstuff.com

Click in the white area of Business Group Info field and the following screen will
appear.

Warning: All the information entered on this screen will affect the Business Group and you
will not be able to change saved data on this screen.
1.9. Select Business Group, click the Enabled check box and click (B) Others.
1.10. Enter the required information on the screen displayed as following,
Field
All Rights Reserved 2006-08

Value
66/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Short Name
Employee Number Generation
Applicant Number Generation
Contingent Worker Number
Generation

XX_BG
Automatic
Automatic
Automatic

Grade Flexfield Structure


Group Flexfield Structure
Job Flexfield Structure
Costing Flexfield Structure
Position Flexfield Structure
Competence Flexfield Structure
Legislation Code

XX_GRADE_FLEXFIELD
XX_PEOPLE_GROUP_FLEXFIELD
XX_JOB_FLEXFIELD
XX_COST_ALLOCATION_FLEXFIELD
XX_POSITION_FLEXFIELD
XX_COMPETENCE_FLEXFIELD
United Kingdom

Currency
Fiscal Year Start
Minimum Working Age
Maximum Working Age

PKR

1.11. Click OK (button).

All Rights Reserved 2006-08

67/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.12. Click OK (button).

1.13. Click Yes (button).


1.14. Again click Others (B) and select Tax Details References required for UK legislation.

All Rights Reserved 2006-08

68/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.15. Click OK (button).

1.16. Click in Tax Details References field.

All Rights Reserved 2006-08

69/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.17. Enter all the required information and click OK (button).


Note: PAYE Reference this must be in the format of 999/123456 or 999/C12345 the first
3 must be numeric and are the Tax District, the last characters are the Tax Reference.
1.18. Now assign GRE / Legal Entity where you can assign Financials Set of Books to your
organization.
Field
Value
Organization Classifications Name
GRE / Legal Entity
;
Enabled

1.19. Now the next step is to make our Business Group a HR Organization as we will hire
CEO in this organization. Keep in mind that which organization will have employees

All Rights Reserved 2006-08

70/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

must be an HR Organization. Click in the 2nd line to define HR Organization and enter
the following information.
Field
Organization Classifications
Name
Enabled

1.20.

Value
HR Organization
;

Save the information and close the form.

All Rights Reserved 2006-08

71/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

6 - Profiles
Now we have to assign our created Business Group to the responsibility we already created at
the start. We will have to assign two other profiles as well. There are following three profiles
which we need to set for our XX HRMS responsibility.
o HR: Security Profile
o HR:Business Group
o HR:User Type
There is a space in HR: Security Profile after colon but no space in other profile options.

1. Setting HR: Security Profile


1.1.

Open the System form,


Sys Admin: Profile > System

1.2.

Enter Responsibility name XX HRMS and profile HR: Security Profile.

1.3.

Click Find (button).

All Rights Reserved 2006-08

72/157

Oracle Applications R12 HRMS & Payroll

1.4.
1.5.

www.erpstuff.com

Select Business Group XX COMPANY under Responsibility.


Save information and click Find (button) from the toolbar.

2. Setting HR:Business Group Profile


2.1.

Change the Profile to HR:Business Group.

2.2.

Click Find (button).

All Rights Reserved 2006-08

73/157

Oracle Applications R12 HRMS & Payroll

2.3.
2.4.

www.erpstuff.com

Select Business Group XX COMPANY under Responsibility.


Save information and click Find (button) from the toolbar.

3. Setting HR:User Type Profile


3.1.

Change the Profile to HR:User Type Group.

3.2.

Click Find (button).

All Rights Reserved 2006-08

74/157

Oracle Applications R12 HRMS & Payroll

3.3.

Select HR with Payroll User from the LOV and click OK (button).

3.4.

Save the information and close the forms.

All Rights Reserved 2006-08

www.erpstuff.com

75/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

7 - Organizations
1. Departments (HR Organization) Definition
1.1.

1.2.

Now switch to XX HRMS Responsibility and this is the place where normally people
make mistakes. They do not switch to the responsibility in order to make their
Business Group as container and create different organizations (Operating Units,
Inventory Organizations, HR Organizations etc.) which are not later accessible in their
business group.
Open the Description form,
HRMS: Work Structures > Organization > Description

1.3.

Click New (A) (button), and define three departments with the following information.

Field
Name
Type
Location
Internal or External
Organization Classification
Enabled

All Rights Reserved 2006-08

XX IT
Department
XX LOCATION PK
Internal
HR Organization
;

Value
XX HR
Department
XX LOCATION PK
Internal
HR Organization
;

XX FN
Department
XX LOCATION PK
Internal
HR Organization
;

76/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

77/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: Internal Organizations are Departments, Sections or Cost Centers and the External
Organizations are Tax Offices, Recruitment Agencies. You can define as many
organizations (Zone, Division, Department, Sections) but here for practice we have
defined only 4 (Company 1, Departments 3).

All Rights Reserved 2006-08

78/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

8 - Jobs Creation
1. Jobs Entry
1.1.
1.2.

Keep in the XX HRMS responsibility.


Open the Description form
HRMS: Work Structures > Job > Description

1.3.

We will define the following jobs.


Job
CEO
MANAGER
DEPUTY MANAGER
SUPERVISOR

1.4.
1.5.

Job Code
CO
MG
DM
SR

Click New (button).


A Job Group number will be automatically assigned.

All Rights Reserved 2006-08

79/157

Oracle Applications R12 HRMS & Payroll

1.6.

Now click in the Name field.

1.7.

Select Job Name and Job Code.

1.8.
1.9.

Save the data.


Repeat the above steps to define all jobs.

All Rights Reserved 2006-08

www.erpstuff.com

80/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

9 - Positions Creation
1. Positions Entry
We will define following positions.
Position
CEO.EAST
MANAGER IT.EAST
MANAGER FN.EAST
MANAGER HR.EAST
DEPUTY MANAGER IT.EAST
DEPUTY MANAGER FN.EAST
DEPUTY MANAGER HR.EAST
SENIOR DBA.EAST
ACCOUNT OFFICER FN.EAST
RECRUITMENT OFFICER.EAST

Job
CEO.CO
MANAGER.MG
MANAGER.MG
MANAGER.MG
DEPUTY MANAGER.DM
DEPUTY MANAGER.DM
DEPUTY MANAGER.DM
SUPERVISOR.SR
SUPERVISOR.SR
SUPERVISOR.SR

Organization
XX COMPANY
XX IT
XX FN
XX HR
XX IT
XX FN
XX HR
XX IT
XX FN
XX HR

The following information will be same for all positions,


Field
Value
Position Details Tab
Type
Single Incumbent
;
Permanent
Hiring Status
Active
Hiring Information Tab
FTE
1.1.

Open the Description form


HRMS: Work Structures > Position > Description

All Rights Reserved 2006-08

81/157

Oracle Applications R12 HRMS & Payroll

1.2.

www.erpstuff.com

Click New (button).

All Rights Reserved 2006-08

82/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.3.

Click OK (button).

1.4.

Click Hiring Information tab and enter 1 in the FTE (Full Time Equivalent) as our Type
is Single Incumbent.

All Rights Reserved 2006-08

83/157

Oracle Applications R12 HRMS & Payroll

1.5.
1.6.

www.erpstuff.com

Save the data.


Repeat these steps for all positions.

All Rights Reserved 2006-08

84/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

10 - Grades Creation
1. Grades Entry
1.1.

Open the Description form


HRMS: Work Structures > Grade > Description

1.2.

Define the following grades,


Grade
EXECUTIVE
MANAGEMENT
SUPERVISOR

1.3.

Level
1
1,2,3
1

After Grade Name and Grade Level selection click on OK (B).

All Rights Reserved 2006-08

85/157

Oracle Applications R12 HRMS & Payroll

1.4.

www.erpstuff.com

Enter From date from where you want this grade to take effect or you will assign the
grade. Better to keep it old date so if there are any back date transactions then you
will be able to assign.

Save the data after entering all possible grades combinations.

All Rights Reserved 2006-08

86/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

11 - Position Hierarchies
1. Position Hierarchy Definition

1.1.

Open the Hierarchy form


HRMS: Work Structures > Position > Hierarchy

1.2.

Enter unique Hierarchy Name and click Primary check box if this is your Primary
hierarchy.

All Rights Reserved 2006-08

87/157

Oracle Applications R12 HRMS & Payroll

1.7.

Save the data.

1.8.

Enter Version Number and Date From and save the data.

All Rights Reserved 2006-08

www.erpstuff.com

88/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.9.

Click in the Position Name and press F11 to search the top position CEO.EAST and the
execute query by pressing Ctrl+F11.
1.10. Then click in the Subordinates Name field.

1.11. Enter all subordinates who are reporting to CEO in our case all Managers.
Note: Employee name will be automatically displayed in the Holders Name field once these
positions will be assigned to relevant employees on the People Management form.
All Rights Reserved 2006-08

89/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.12. Now click the MANAGER IT.EAST line and click the Blue Down arrow key to define the
Manager IT subordinate.

1.13. Position MANAGER IT.EAST has jumped above in the Position Name field. Enter all
subordinates who are reporting to CEO in our case all Managers. Select DEPUTY
MANAGER IT.EAST as subordinates and save the information.
1.14. Now to define subordinate of DUPUTY MANAGER IT.EAST click blue Down arrow key
and DUPUTY MANAGER IT.EAST position will be shifted in the Position Name field.

All Rights Reserved 2006-08

90/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.15. Enter SENIOR DBA.EAST and save the information.


1.16. To move upward in the hierarchy click on blue up arrow and define all subordinate
positions.

1.17. The hierarchy will look like shown above.


All Rights Reserved 2006-08

91/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.18. Save the information and close the form.

2. Position Diagrammer
2.1.

Open the Diagrammer form,


HRMS: Work Structures > Position > Diagrammer

2.2.

Search for Hierarchy name XX ORG HIERARCHY.

All Rights Reserved 2006-08

92/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

People
Management

All Rights Reserved 2006-08

93/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

12 - Employee Creation
1. Employee Creation

1.1.

Open the Enter and Maintain form,


HRMS: People > Enter and Maintain

All Rights Reserved 2006-08

94/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.2.
1.3.

Click New (button).


Set Effective Date from the toolbar or using Tools menu.

1.4.

Enter the required information on the form. As we are creating an employee so we


will select Create Employment in the Action field. Good thing is that when you will
select Title the Gender field is automatically populated.

All Rights Reserved 2006-08

95/157

Oracle Applications R12 HRMS & Payroll

1.5.

Save the data and click Address (B).

1.6.

Click on OK (B).

All Rights Reserved 2006-08

www.erpstuff.com

96/157

Oracle Applications R12 HRMS & Payroll

1.7.

www.erpstuff.com

Save and close this Address window.


Note: When you enter/update the address and you get error FRM-40735: ONINSERT trigger raised unhandled exception ORA-29273 then to resolve this error you
need to take few steps as System Administrator.
Sys Admin: Profile > System
Search for Application Proxy port and in my case I set it to 8000. After saving this
search for Applications Server-Side Proxy Host And Domain and set it accordingly. In
my case it is vision.erpstuff.com. Save and close the form.

Now enter/update the address and save it.


All Rights Reserved 2006-08

97/157

Oracle Applications R12 HRMS & Payroll

1.8.
1.9.

www.erpstuff.com

Click Assignment (button).


Select Group, Position and Grade. The position will default few fields which you can
change.

1.10. Click on Correction (B).

All Rights Reserved 2006-08

98/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.11. Click on Yes (B).

1.12. Save and close Assignment Form.


1.13. Click New on the main form.
1.14. For other Employees you will have to select relevant Organization on assignment
form.

All Rights Reserved 2006-08

99/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.15. Click OK (B).

1.16. Click on Correction (B).


1.17. Create all the employees.
1.18. Now after creation of all employees I would like to show the position hierarchy.

All Rights Reserved 2006-08

100/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.19. Now Position Holders are displayed in the hierarchy.

All Rights Reserved 2006-08

101/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Payroll Setup

All Rights Reserved 2006-08

102/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

13 - Introduction to Oracle
Payroll
1. QuickPay
QuickPay is the process which is used to pay to single employee. It is useful when there is a
need to check new elements definition result before applying on all employees. QuickPay is
also used for instant updates for new hiring, late entries, and terminations.

2. Batch Processing
When we have to process the payroll for more than one employee then we use batch
processing. That is running a request Payroll Run.

3. Payment Methods
In Oracle Payroll we can pay our employees using different payment methods like Check
(Cheque), Direct Deposit, Cash or a combination of different payment methods. There are
certain limitations of localizations.

4. Currency
We can pay using single currency or multiple currencies. The currency is defaulted from the
Business group.

5. Payroll(s)
We define a payroll for a number of employees who share the same payroll calendar and
therefore receive payment on the same date, and at the same regular frequency.

6. Pay Date / Cheque (check) Date


The Pay Date / Check Date is the date of constructive receipt of pay, on which paychecks
become negotiable.

7. Scheduled Run
The Scheduled Run Date is the date scheduled for the Regular run of the payroll in each
period.
All Rights Reserved 2006-08

103/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

8. Cut Off Date


As employees expect salary in their bank account / cash on 1st of each month and it is also the
practice of organization to pay on 1st of each month. Now it is possible if all kind of updating /
addition is restricted in order to verify the data before processing of payroll, processing payroll
and then post processing verifications. So for this purpose a Cut Off date is set for each period,
and all entries or changes in payroll information is restricted after this date. Let say if we will set
it to -5 then the cut off date will be last date of month 5.

All Rights Reserved 2006-08

104/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

14 - Consolidation Set
1. Define Consolidation Set
The consolidation set is used for consolidating the result of various payrolls and post payroll
processes.

1.1.

Open the form,


HRMS: Payroll > Consolidation

1.2.

Enter a relevant name,

1.3.

Save the data and close the form.

All Rights Reserved 2006-08

105/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

15 - Payment Methods
1. Define Payment Methods
1.1.

Open the form,


HRMS: Payroll > Payment Methods

1.2.
1.3.
1.4.

Enter required and relevant information on the screen.


Enter a name for the payment method, and select its type.
You can create as many payment methods for each type as you require. For example,
if you have different source bank accounts for different payrolls, you must create
separate payment methods.

1.5.

Click in the Bank Details will open the Bank Details window so provide the bank
related information.

All Rights Reserved 2006-08

106/157

Oracle Applications R12 HRMS & Payroll

1.6.
1.7.

www.erpstuff.com

Click OK (B).
Save the data and close the form.

All Rights Reserved 2006-08

107/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

16 - Elements
1. Define Elements
For better understanding of the elements we will define different type of elements and will
assign them to the employees and will view the results after processing.

1.1.

Element

Classification

Location Allowance

Earning

COLA (Grade Based)

Earning

Union Fund

Deduction

Entitled Car (Grade Based)

Information

Monthly Salary

Earning

Open the form,


HRMS: Total Compensation > Basic > Element Description

1.2.

By default the current date will be the effective date and as this field is read only and
you cannot update it directly. So after opening the form we will use the Alter Effective
Date button from the tool bar. The button labeled with date 31.

1.3.
1.4.

Click on Alter Effective Date (B).


Change the Effective Date to 01-JAN-2000.

All Rights Reserved 2006-08

108/157

Oracle Applications R12 HRMS & Payroll

1.5.
1.6.
1.7.
1.8.
1.9.
1.10.
1.11.
1.12.
1.13.
1.14.
1.15.

1.16.
1.17.
1.18.

www.erpstuff.com

Click on OK (B).
Enter a unique Name & Reporting name while keeping in mind that names should not
start a number or symbol.
Optionally enter a description for the element.
Select a Primary Classification.
Select the processing type - Select Recurring if an entry of this element applies in
every period until the entry is ended, or Nonrecurring if an entry applies in one pay
period only.
Select a termination rule to determine how entries of the element are processed after
termination of the employee.
Select the Multiple Entries Allowed check box if you want to give an employee more
than one entry of the element at the same time. If you are creating a net-to-gross
element, you must select Multiple Entries Allowed.
Select the Additional Entries Allowed check box if you want to make occasional onetime entries of a recurring element (instead of, or in addition to, a normal recurring
entry).
Select the Closed for Entry check box if you want to prevent any new entries being
made for the element.
Select the Process in Run check box if you want the element to process in payroll
runs.
Select the Indirect Results check box if you want the element only to accept entries
from indirect formula results. Leave the check box unchecked if you want to accept
entries both from indirect formula results and from manual entries in the Element
Entries window.
Select the Adjustment Only check box if you want to use the element only for
creating balance adjustments.
Select the Third Party Payments check box if you want to use the element only for
creating third party payments.
Select the currency in the Input field if you want to make element entries in a
currency other than the base currency of the Business Group.

All Rights Reserved 2006-08

109/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.19. Save the data.


Note: If the Type is Nonrecurring then this element will not appear on the Salary Basis
screen.
1.20. Save the data.

2. Defining an Element's Input Values


2.1.

Click on Input Values (B).

2.2.

Uncheck the User Enterable of Pay Value.

All Rights Reserved 2006-08

110/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2.3.
2.4.
2.5.

Create a new record and enter the information.


Enter the name of the first input value Location Allowance.
Select the unit type of your input value (money, hours, character, date, number, or
time). You can enter numbers in the Sequence field to change the order in which the
input values appear in the Entry Values window.

2.6.

Check the User Enterable check box if users can enter a value for this input.

All Rights Reserved 2006-08

111/157

Oracle Applications R12 HRMS & Payroll

2.7.

We can scroll to the right to enter default value and validations.

2.8.

Save the data and close this screen.

www.erpstuff.com

3. Element for COLA (Cost of Living Allowance)


3.1.

Now define COLA element.

3.2.

Save and click on Input Values (B).

All Rights Reserved 2006-08

112/157

Oracle Applications R12 HRMS & Payroll

3.3.
3.4.

www.erpstuff.com

Provide required information and scroll to right to enter default value.


Save and close the form.

4. Element for COLA (Cost of Living Allowance)


4.1.

Now define Union Fund element.

All Rights Reserved 2006-08

113/157

Oracle Applications R12 HRMS & Payroll

4.2.

www.erpstuff.com

Save and click on Input Values (B).

All Rights Reserved 2006-08

114/157

Oracle Applications R12 HRMS & Payroll

4.3.
4.4.

www.erpstuff.com

Provide required information and scroll to right to enter default value.


Save and close the form.

5. Element for Company Car


5.1.

Now define Company Car element.

5.2.
5.3.

Select Information in Primary Classification.


Save and click on Input Values (B).

All Rights Reserved 2006-08

115/157

Oracle Applications R12 HRMS & Payroll

5.4.
5.5.

www.erpstuff.com

Enter the information as shown above and save the data.


Close the form.

6. Element for Monthly Salary


In Pakistan the salary is negotiated on the basis of per month salary so I have created this
element to deal with this. I will assign Salary Basis as monthly and will use Salary
Administration to update values of this element. When we will use Salary Administration
page for any employee this element will be automatically assigned to that employee and will
have the salary assigned. So there is no need to manually assign this element to the
employee. We will check this in more detail while assigning salaries to the employee.
6.1.

Now define Monthly Salary element.

All Rights Reserved 2006-08

116/157

Oracle Applications R12 HRMS & Payroll

6.2.

www.erpstuff.com

Save and click on Input Values (B).

All Rights Reserved 2006-08

117/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

17 - Salary Basis
1. Define Salary Basis
Salary Basis is the duration for which a salary is quoted, for example, hourly, monthly or annually.
The Salary Basis window is used to define a salary basis for each salary element to be used for salary
administration.

1.1.

Open the form,


HRMS: Total Compensation > Basic > Salary Basis

1.2.
1.3.
1.4.
1.5.

Enter the name of the salary basis and select Basis.


Select the name of the salary element and input value associated with this salary
basis.
Save the data.
Repeat the above steps for each earning element.

All Rights Reserved 2006-08

118/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

119/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

18 - Payroll
1. Define Payroll
1.1.

Open the form,


HRMS: Payroll > Description

1.2.

Enter the required information on the displayed form.

1.3.

After selecting Consolidation Set then the cursor will jump to Cost field. Here we will
not provide any account as we have not configured Oracle General Ledger.

1.4.

Click in Statutory Information field and enter the required information.

All Rights Reserved 2006-08

120/157

Oracle Applications R12 HRMS & Payroll

1.5.

Click on OK (B).

1.6.
1.7.

Save the data.


Now click on Period Dates (B) and scroll to the right.

www.erpstuff.com

Note: Check the Negative Payment Allowed check box if you want the PrePayments
process to include negative payments. If you leave the box unchecked, the PrePayments
process ignores negative payments

All Rights Reserved 2006-08

121/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: Check the Cut Off date that is the final date for entering or changing payroll
information before a run.
1.8.
1.9.

Close the Period Dates screen.


Now click on Valid Payment Methods (B).

1.10. Close all the screens.


1.11. We can add more than one Valid Payment Methods on this form.

All Rights Reserved 2006-08

122/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

19 - Element Link
1. Define Element Link
The first element we will create link is the XX Monthly Salary and in search criteria we will give Salary
Basis and Payroll. So all those employees having salary basis XX Monthly Salary and Payroll is XX
Monthly Payroll will have this element. From here you can imagine that we can keep more than one
Salary Basis say monthly and annually etc.

1.1.

Open the form,


HRMS: Total Compensation > Basic > Link

1.2.

Enter the required information.

1.3.

Save the data.

Note: Check the Standard check box if you want all employees who are made eligible by the
link to receive the element automatically but there are few restrictions as well.

2. Location Allowance Element Link


2.1.

Create link of Location Allowance element and here we will give criteria of location.

All Rights Reserved 2006-08

123/157

Oracle Applications R12 HRMS & Payroll

2.2.
2.3.

www.erpstuff.com

Here we checked Standard so this element will be automatically assigned with the
default values to those employees who will have SUPERVISOR.1 grade, Location XX
LOCATION PK, Salary Basis XX Monthly Salary and Payroll XX Monthly Payroll.
After saving the data click on Input Values.

3. COLA Element Link


3.1.

Create link of COLA Allowance element and here we will give criteria of grade, salary
basis and payroll while making it standard.

All Rights Reserved 2006-08

124/157

Oracle Applications R12 HRMS & Payroll

3.2.

www.erpstuff.com

Save and click on Input Value to verify the default value.

4. Company Car Element Link


4.1.

Create link of Company Car and here we will give criteria of grade and payroll while
making it standard. Oh what about CEO? As CEO is not in this grade so he will not
have a car. No problem we will create another link for him for his grade or position.

All Rights Reserved 2006-08

125/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.2.

We cant make this element link as Standard because there are mandatory (required)
values without having defaults. So if we will try to keep it standard then what will be
the initial value when this element will be assigned? We have not assigned default
values because each employee may have different car.

4.3.

Now we will create another link to assign car to our CEO else he will not give anyone
any car haaaa.

All Rights Reserved 2006-08

126/157

Oracle Applications R12 HRMS & Payroll

4.4.
4.5.
4.6.

www.erpstuff.com

Save the data and close the form.


Now as we have created all possible links so now need to check what happened to
employees assignments and also we need to update the Company car of our CEO and
Managers.
First let me show you a supervisors assignments and see what he/she has.

All Rights Reserved 2006-08

127/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.7.

Click COLA and click on Entry Values (B).

4.8.
4.9.

The default value is assigned and if required you can change it.
Now we will update the car information of an employee. So search the employee
CEO.

All Rights Reserved 2006-08

128/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.10. As the Company Car link was not a Standard so we will have to fist assign it manually
to each entitled employee.

4.11. Select the XX Company Car element and click on OK (B).

4.12. Click on Entry Values (B).

All Rights Reserved 2006-08

129/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

4.13. Close this window and save the information.

5. Union Fund Deduction Element Link


5.1.

Create link of Union Fund Deduction of all those employees having XX Monthly
Payroll.

All Rights Reserved 2006-08

130/157

Oracle Applications R12 HRMS & Payroll

5.2.
5.3.

Save and close this form.


Now verify the deduction element of any employee.

5.4.

Close this form.

All Rights Reserved 2006-08

www.erpstuff.com

131/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Salary
Administration

All Rights Reserved 2006-08

132/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

20 - Salary Administration
Now we will assign salary to all our defined employees. Here we will keep a the following standard,

Grade

Salary ( PKR Per Month )

CEO

100,000

Managers

80,000

Deputy Managers

70,000

Supervisors

50,000

1. Salary Basis and Payroll Assignments


1.1.

Open the Enter and Maintain form,


HRMS: People > Enter and Maintain

1.2.

Search each employee and assign Salary Basis and Payroll.

1.3.

Here we have selected XX Monthly Payroll in the Payroll field and XX Monthly
Salary in the Salary Basis field.
While selection click on Correction (B).
Save the information.
We will also assign salary to each employee as well. So click Salary (B).

1.4.
1.5.
1.6.

All Rights Reserved 2006-08

133/157

Oracle Applications R12 HRMS & Payroll

1.7.

Click on Add New Salary (B).

1.8.

Click on Apply (B).

All Rights Reserved 2006-08

www.erpstuff.com

134/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.9.

Add Salary of each employee and as I kept the Status to Approved then I dont need
to approve as we are entering salaries first time. In case of approval you will have to
perform approval from Salary Management form.
1.10. Open Salary Management form,
HRMS: People > Salary Management
1.11. I have used Ctrl + F11 to view all employees and here you can check all salaries are
approved. If not then select that line and click on Approve (B).

All Rights Reserved 2006-08

135/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Important: By default there will be no Approve button on this form. To enable this function
(Salary Administration:Approve) we need to add it in the Menu of our responsibility.

1.12. Now let me show you how XX Monthly Salary is updated.


1.13. Search an employee and goto Assignment form.

1.14. Click the XX Monthly Salary lines and click on Entry Values (B).

All Rights Reserved 2006-08

136/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.15. Close the forms.

2. Salary Administration
Instead of entering salary from the People assignment form you can use Salary
Administration page under FastPath menu.
1.1.

Open the Page,


HRMS: FastPath > Salary

All Rights Reserved 2006-08

137/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.2.

Search a specific employee or enter % in the Number field and click on Go (B).

1.3.
1.4.

The above is the list of employees we had defined earlier.


Now select an employee and then click on Manager Salary (B).

All Rights Reserved 2006-08

138/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

139/157

Oracle Applications R12 HRMS & Payroll

All Rights Reserved 2006-08

www.erpstuff.com

140/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Payroll
Processing

All Rights Reserved 2006-08

141/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

21 - Payroll Processing
Introduction
1. Payroll Processes
In the Payroll processing we will cover the following areas.

Run payrolls using QuickPay and batch processes


Run prepayments and payments processes
Run costing and transfer to GL processes

2. Processing Activities
The payroll processing consists of the following activities,

Activity

Description

Data Entry

Data entry is carried out during


the month till cut-off date. In
our case it is EOM 5.
EOM = End of Month

Cut-off

EOM - 5

Payroll Run
Run Prepayment
Payment
Costing

3. Retro Pay & Advance Pay


In Oracle payroll if you have to pay your employees in back dates then you use Retro pay as it allows
you to back pay employees, in the current payroll run. While to pay in advance the Advance pay feature
is used that allows you to pay employees in advance, in the current payroll run.

4. Process Rollback
A payroll run process can be rolled back and is useful when you want to check the processing and wants
to verify the results. So process, verify, rollback and process again.
All Rights Reserved 2006-08

142/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

5. Retry a Payroll Run


If you forgot to modify a formula so you can use retry a payroll run and it will process and it will process
those employees who are affected due to this change instead of processing all.

6. Reversing a Payroll Run


You have processed a payroll of terminated employee or the cheque is incorrect and you have to replace
the existing cheque. Dont forget to block the first cheque.

7. Payment Invoice
There is no interface of Oracle Payroll and Accounts Payable to create an Invoice automatically. From
Payroll data can be transferred to GL based on the Cost Allocation Flexfield defined and you will have to
create a manual invoice in the Accounts Payable module.

All Rights Reserved 2006-08

143/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

22 - QuickPay
1. QuickPay
We will process the Payroll of single employee using QuickPay. Search the employee using

1.1.

Open the Enter and Maintain form,


HRMS: People > Enter and Maintain
Or
HRMS: FastPath > QuickPay

1.2.

Search the employee.

1.3.

Click on Assignment (B).

All Rights Reserved 2006-08

144/157

Oracle Applications R12 HRMS & Payroll

1.4.

Click on Others (B).

1.5.

Scroll down to select QuickPay and click on OK (B).

All Rights Reserved 2006-08

www.erpstuff.com

145/157

Oracle Applications R12 HRMS & Payroll

1.6.

Select Run Type.

1.7.

Save and click on Element Selection (B).

All Rights Reserved 2006-08

www.erpstuff.com

146/157

Oracle Applications R12 HRMS & Payroll

1.8.
1.9.

www.erpstuff.com

Here we can also exclude elements from processing.


Close this Elements screen and on main form click on Start Run (B).

1.10. The status is Complete so now to check the output click on View Results (B).

All Rights Reserved 2006-08

147/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.11. Select Run Results and click on OK (B).

1.12. Select Standard Run click on OK (B).

All Rights Reserved 2006-08

148/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.13. Click on Run Result Values (B).

1.14. Close this screen and open XX Union Fund a Voluntary Deduction.

1.15. Close this screen.

All Rights Reserved 2006-08

149/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

1.16. If there is any mistake then you can make correction and use Retry Run option to
reprocess.
1.17. Now to run the prepayment process click on Start Pre-payments (B).

1.18. Verify the Status of Pre-payment that is Complete.


1.19. Close the forms.

All Rights Reserved 2006-08

150/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

23 - Batch Processiing
1. Payroll Run Process
We will process the Payroll of group of employees using Payroll Run.

1.1.

Open the form,


HRMS: Processes and Reports > Submit Processes and Reports

1.2.

Click on the OK (B).

All Rights Reserved 2006-08

151/157

Oracle Applications R12 HRMS & Payroll

1.3.
1.4.

Select Payroll Run process and provide required parameters.


Click on the OK (B).

1.5.
1.6.

Click on the Submit (B).


Now view the request status.

www.erpstuff.com

HRMS: Processes and Reports > View Requests

All Rights Reserved 2006-08

152/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

2. PrePayment Process
2.1.

Open the form,


HRMS: Processes and Reports > Submit Processes and Reports

2.2.
2.3.
2.4.

Select PrePayments process and provide required parameters.


Click on the OK (B).
Now view the request status.
HRMS: Processes and Reports > View Requests

All Rights Reserved 2006-08

153/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

3. Costing Process
3.1.

Open the form,


HRMS: Processes and Reports > Submit Processes and Reports

3.2.

Select Costing process and provide required parameters.

All Rights Reserved 2006-08

154/157

Oracle Applications R12 HRMS & Payroll

3.3.

Click on the OK (B).

3.4.

Now view the request status.

www.erpstuff.com

HRMS: Processes and Reports > View Requests

4. Transfer to GL
4.1.

Open the form,

All Rights Reserved 2006-08

155/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

HRMS: Processes and Reports > Submit Processes and Reports

4.2.
4.3.
4.4.

Select Transfer to GL process and provide required parameters.


Click on the OK (B).
Now view the request status.
HRMS: Processes and Reports > View Requests

All Rights Reserved 2006-08

156/157

Oracle Applications R12 HRMS & Payroll

www.erpstuff.com

Note: Although we have not configured Financial part but just wanted to show the steps.

All Rights Reserved 2006-08

157/157