Oracle Apps Fusion Payment

Disclaimer
Oracle Online Training Materials Usage Agreement

Use of the information, documents and online training courses (collectively, Materials) found on this area of the Site constitutes
agreement with the following terms and conditions (as well as those set forth in the Purpose and Disclaimer sections below):
1. Oracle is pleased to allow its business partner (Partner) to download and copy the Materials found on this area of the Site. The
Materials are proprietary information of Oracle. Partner or other third party at no time has any right to resell, redistribute or create
derivative works from the Materials. The use of the Materials is restricted to the non-commercial, internal training of the Partners
employees only. The Materials may not be used for training, promotion, or sales to customers or other partners or third parties.
2. Oracle is a registered trademark of Oracle Corporation and/or its affiliates. Other names may be trademarks of their respective
owners.
3. Oracle disclaims any warranties or representations as to the accuracy or completeness of any Materials. Materials are provided "as is"
without warranty of any kind, either express, implied or statutory, including without limitation the implied warranties of merchantability,
satisfactory quality, fitness for a particular purpose, accuracy, timeliness and non-infringement of third-party rights. The information
contained herein is subject to change without notice.
4. Under no circumstances shall Oracle be liable for any loss, damage, liability or expense incurred or suffered which is claimed to have
resulted from use of these Materials. As a condition of use of the Materials, Partner agrees to indemnify Oracle from and against any and
all actions, claims, losses, damages, liabilities and expenses (including reasonable attorneys' fees) arising out of Partners use of the
Materials.
Copyright 2011, Oracle and/or its affiliates. All rights reserved. Oracle Proprietary and Confidential.
Disclaimer
Purpose:
This document provides an overview of features and enhancements included in Oracle Fusion Applications 11gR1 Release 11.1.1.5.0
and applicable updates. It is intended solely to help you assess the business benefits of upgrading your existing Oracle Products to
this release, or implementing completely new Oracle developed products, and planning your I.T. Projects.
Disclaimer:
This document in any form, software or printed matter, contains proprietary information that is the exclusive property of Oracle. Your
access to and use of this confidential material is subject to the terms and conditions of your Oracle Software License and Service
Agreement or other applicable contract with Oracle, with which you agree to comply. This document and information contained
herein may not be disclosed, copied, reproduced or distributed to anyone outside Oracle without Oracles prior written consent. This
document is not part of your license agreement nor can it be incorporated into any contractual agreement with Oracle or its
subsidiaries or affiliates.
This document is intended to outline our general product direction. It is intended for informational purposes only and solely to assist you
in planning for the implementation and upgrade of the product features described. Release information contained in this document
is not a firm development plan. Release information published here should not be used as the basis for customer delivery
commitments, as part of marketing efforts, or during contract negotiations. This is not a commitment to deliver any material, code, or
functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features
or functionality, and inclusion or not thereof in the commercially available version of the Software, if any, is subject to change at any
time and is always at Oracles sole discretion. This document is not considered part of the applicable program documentation.
Due to the nature of the product architecture, it may not be possible to safely include all features described in this document without
risking significant destabilization of the code.
<Insert Picture Here>
Oracle Fusion Payments

Implementation and Configuration Considerations
Agenda
1. Key Feature: Disbursements
Prerequisites
Feature Summary
Deltas with EBS
Key Decisions and Best Practices
Relevant Setup Tasks
2. Key Feature: Funds Capture
Prerequisites
Feature Summary
Deltas with EBS
Disbursements
Prerequisites
The concepts covered in the following Fusion Version
1 TOIs are prerequisites for understanding this
implementation document:
Manage Payments L3: Prepare and Record Payments
Manage Payments L3: Process Payment Files
Set Up Procurement L3: Define Disbursements and
Configure Payment System Connectivity
Feature Summary
Key Terminology
Payment Process Profile

Payables
User 1
Payment
Process
Request 1
Payment
Build
Pool of Built
Payments
Select Documents
Payment
File
Transmit
Payments
Payment
File
Print
Payments
Payment
File Creation
Payable
Payables
User 2
Payment
Process
Request 2
Payment
Build
Select Documents
Payable
Deltas with EBS

Terminology Change: Payment Instruction changed to
Payment File
New setup entity Payment Code combines three EBS
setup entities:
Delivery Channel Code
Bank Instruction Code
Payment Reason Code

What is your business process?
Decide how much to automate
What is your organizational structure?

Support for decentralized, centralized, payment factory
models
What are your processing goals?

Targeted invoice selection or least effort
What payment methods do you need?

Broad, or granular with validations

What validations do you need?
Payment method or format
User defined or predefined
Document payable, payment, or payment file
What formats can you use?

Configuring or customizing for your needs
Security (Encryption and Masking)
10

Straight Through Processing

Advantages:
Fewer touch points means less effort
Exceptions handled outside the payment process, good
payments not held up by the few exceptions
Tight Manual Control

Advantages:
Allows manual review and confirmation of payments in
process
Allows step to be initiated manually to fit specific timing needs
Note: Any combination of manual and automated steps can be used. It is not necessary to be
completely automated or completely manual. The best practice is to automate everything
except manual review of either selected invoices or proposed payments. See following slides
for further options and best practices.
11

The following settings control automation of steps

throughout the payment process:
12
Page
Options
Details
Manage
Disbursement
System Options
Validation error
handling
PPR Status report
submission
Validation error handling setting defaults to

payment process request (PPR) templates
or directly to Submit PPRs page if no
template is used
Create Payment
Process Profile
Printing
Transmission
Reporting
Set for automatic initiation or manual

initiation. Reporting includes payment file
register, positive pay, and separate
remittance advice
Submit Payment
Process Request
Validation error
handling
Choose to automatically remove any

documents or payments with errors and
progress valid items, or stop the process
and review errors

Optional stopping points for review during the

payment process:
13
Page
Options
Details
Manage
Disbursement
System Options
Review proposed
payments
Setting defaults to payment process request

(PPR) templates or directly to Submit PPRs
page if no template is used
Submit Payment
Process Request
Review selected
installments
Review proposed
payments
Best practice: While you can stop at both

points, it is recommended to stop for review
at most once. The stopping points offer
different values, so pick the one that suits
your needs best

Best practices for process submission

Object
Best Practice
Payment Process Create one template for each unique combination of submission
Requests
attributes. Ensure your templates cover all normal cases avoid
off-cycle payments and the associated costs.
Do not enable Create Payment Files Immediately, as this will limit
payment file creation to within a single PPR.
Create a scheduled process for each template to create PPRs
automatically. This should be run frequently enough to meet due
dates, as well as to take advantage of early payment discounts.
14

Best practices for process submission

Object
Best Practice
Payment Files
Create one or more scheduled processes that will run after all
PPR processes complete. The payment file will pick up any
waiting payments with the proper attributes, regardless of which
PPR they originated in, allowing for the fewest number of
payment files possible.
Fewer payment files result in lower transaction processing
costs.
15

Decentralized
Invoice
Entry
BU A
Invoice
Selection
BU A
Payment
Processing
BU A
BU B
BU B
BU B
Centralized
Centralized
Invoice
Entry
BU A
Centralized Invoice
Selection
Centralized Payment
Processing
BU A & B
BU A & B
BU B
BU A & B
Payment Factory
Invoice
Entry
BU A
BU B
16
Invoice
Selection
BU A
Centralized Payment
Processing
BU A & B
BU B
BU A & B

Decentralized Processing
Enable each BU to create its own payment process
Enable each BU to decide who and when to pay
Centralized Processing
Reduce manpower costs by centralizing payment process decisions and
exception handling
Reduce payment processing costs by pooling payments together into
fewer payment files
Efficiencies of scale allow some users to specialize in payment
processing
Payment Factory
Enable each BU to decide who and when to pay
Reduce payment processing costs by pooling payments together into
fewer payment files
17

Select invoices to be paid with a broad selection

criteria, thus creating as few payment process
requests as possible
Recommended for a Centralized Processing model
Payment process templates can be more generic, and fewer of
them
Best practice for supporting broad selection is to ensure that
only one payment process profile (PPP) is active per unique
set of transactional attributes (business unit, payment method,
disbursement bank account, and currency)
System can derive PPP automatically per payment, instead
of forcing all payments in a payment process request to
have the same PPP
18

Select invoices to be paid with targeted selection

criteria, thus allowing precise control over time
Recommended for Decentralized or Payment Factory models
Allows different types of payments to be managed in separate
processes, for example expense reports Monday, domestic
supplier payments Tuesday, and so on
Best practice to support targeted selection is to create
specific payment process templates for each type, using pay
groups, payment priorities, or other targeted selection criteria
19

What payment methods do you need?
Choose broad payment methods like the seeded

Check and Electronic, or choose to create your own
more granular payment methods, optionally with
targeted validations
Use laser printed checks rather than numbered checks when
possible.
For a detailed discussion of the costs and benefits of

more granular payment methods, see topic Payment
Methods: Explained in the Define Disbursements
chapter of the Implementation Guide
20

Favor standards-based formats that can be used with multiple

banks
EDIFACT formats (PAYMUL, MT100, MT103, etc)
NACHA formats (Generic, CCD, PPD, etc)
Find out what your processing bank supports

Modify seeded formats using BI Publisher
An XML extract provides Payments data
Use RTF templates to create or modify human-readable layouts, for
checks and reports
Use ETEXT files to create fixed-position layouts, for transmission and
automated payment processing
For a more detailed discussion of tailoring formats to your needs, see
the white paper Format Customization In Oracle Payments at
support.oracle.com
21

You can use prepackaged validations designed to

match specific formats
You can create your own validations for almost all
transaction attributes
Layer them on top of prepackaged validations when formats
or regulations change
Or use them to create entirely new validations for your own
formats
22

Validations can be associated with payment methods or

formats
Validations can be performed at the following levels:
Document payable
Payment
Payment File
Documents payable are validated during invoice entry if

the validation is associated with a payment method
Immediate feedback
Fastest way to resolve errors and make payments
Requires knowledgeable invoice entry personnel and a larger
number of payment methods with different validations associated
23

Or after payment process request submission if the

validation is associated with a format
Allows a specialized payment process manager to queue up
and resolve errors
Allows fewer payment methods and requires less knowledge
for invoice entry personnel
For a detailed discussion of the costs and benefits of

validations, see topic Validations: Critical Choices in
the Configure Payment System Connectivity chapter
of the Implementation Guide
24

Security
Use the Positive Pay File to reduce fraud

Encrypt and mask supplier bank account numbers
before importing or entering any data in the system
Use Oracle Wallet Manager to create a wallet
Store wallet in a very secure, limited access file system
location
Obtain encryption keys externally, or have Payments
generate them
Rotate encryption keys periodically
See System Security Options: Critical Choices in the
Implementation Guide
25
26
Payment Methods
Payment Process Profiles
Validations
Formats
Transmission Configurations
System Security Options
Funds Capture
27
Prerequisites
The concepts covered in the following Fusion Version
1 TOIs are prerequisites for understanding this
implementation document:
Process Customer Payments L3: Manage Funds Capture
Set Up Order Fulfillment L3: Define Funds Capture and
Configure Payment System Connectivity
28
Feature Summary
Key Terminology
Receivables
User
Internal
Payee
Routing
Authorization
Payment
System
Funds Capture Process Profile

Receipt
Creation
Receivables
User
Settlement
Settlement
Batch Creation
Payment
System
Remittance
Payment
System
Settlement Batch
Acknowledgment
Receivables
Deltas with EBS

Improved Transaction Exception handling, through
Accounts Receivable
30
31
What Payment Methods to Accept

What Payment Systems to Use
What Formats to Use
What Transmission Protocols to Use
Security Setup: Encryption and Masking
Tying It All Together: Internal Payee

What payment methods to accept
Credit Cards
Implement additional features to reduce processing fees
Company card support
Address verification
Card verification code
Bank Account Transfers

Payer-initiated payment methods (such as checks
and cash) are recorded directly in Oracle Fusion
Receivables
32

What payment systems to use
Leverage existing banking or processing relationship

Your bank may process transactions, or have a partnership
with a processor
Leverage processors with existing integrations with

Oracle Payments EBS
Chase Paymentech (Certification Pending)
First Data Global Gateway (formerly Concord EFSnet)
(Certification Pending)
PayPal PayFlow Pro (Certification Pending)
Other existing integrations have been built by gateways or
consulting firms
33

What formats to use
Find out what your processing partner supports

For a detailed discussion of tailoring formats to your
needs, see the white paper Format Customization for
In Oracle Payments at support.oracle.com
34

Modify seeded formats using BI Publisher

An XML extract provides Payments data
Use RTF templates to create or modify human-readable
layouts, for checks and reports
Use ETEXT files to create fixed-position layouts, for
transmission and automated payment processing
For a more detailed discussion of tailoring formats to your
needs, see the white paper Format Customization In Oracle
Payments at support.oracle.com
35

What transmission protocols to use
Find out what your processing bank supports

Favor transmission protocols seeded in Oracle Fusion
Payments
Use Funds Capture Process Profile for greater
configurability in transmission and formatting
Avoid name-value pair approach
36
Deployment Architecture
External Connectivity
End Users
Router over Leased Line
DMZ Public Zone
OR
HTTP Load
Balancing
Payments
Transmission Servlet
Internet
Payment System
DMZ Secure Zone
Application Tier
Intranet
Database Tier
37

Security
Comply with PA-DSS Security Standards

Hard requirement for accepting credit card payments
Minimize risk of exposing sensitive customer data
Work with an PA-DSS auditor to ensure compliance and
avoid potential violations
Encrypt and mask customer credit card and bank

account numbers before importing or entering data
into the system
38

Security
Use Oracle Wallet Manager to create a wallet

Store wallet in a very secure, limited access file
system location
Obtain encryption keys externally, or have Payments
generate them
Rotate encryption keys periodically
See System Security Options: Critical Choices in the
Implementation Guide
39

Security Gotchas
Bank account numbers are not encrypted immediately

upon entry
Configure the Encrypt Bank Account Data program to run
frequently
Credit Card Numbers that are entered through PLSQL

(via migration or import) are not encrypted
immediately
Run the Encrypt Credit Card Data program after imports
40

Tying It All Together: Internal Payee
Transactions are identified by Business Unit, but are

processed by Internal Payee
If all Business Units require identical processing, create one
internal payee to serve them all
If Business Units require different processing, create one
internal payee per business unit
In a mixed model, use Routing Rules to determine how to
process each transaction
41
42
Payment Methods
Funds Capture Process Profiles
Internal Payees
Formats
Transmission Configurations
System Security Options
<Insert Picture Here>
Oracle Fusion Payments

Implementation and Configuration Considerations

Oracle Apps Fusion Payment

Загружено:

Сведения о документе

Оригинальное название

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

Oracle Apps Fusion Payment

Загружено:

Авторское право:

Доступные форматы

Disclaimer

Oracle Online Training Materials Usage Agreement

<Insert Picture Here>

Oracle Fusion Payments

2. Key Feature: Funds Capture

Payment Process Profile

Deltas with EBS

Key Decisions and Best Practices

What is your organizational structure?

What are your processing goals?

What payment methods do you need?

Key Decisions and Best Practices

What formats can you use?

Security (Encryption and Masking)

Key Decisions and Best Practices

Straight Through Processing

Tight Manual Control

Key Decisions and Best Practices

The following settings control automation of steps

Validation error handling setting defaults to

Set for automatic initiation or manual

Choose to automatically remove any

Key Decisions and Best Practices

Optional stopping points for review during the

Setting defaults to payment process request

Best practice: While you can stop at both

Key Decisions and Best Practices

Best practices for process submission

Key Decisions and Best Practices

Best practices for process submission

Key Decisions and Best Practices

Key Decisions and Best Practices

Key Decisions and Best Practices

Select invoices to be paid with a broad selection

Key Decisions and Best Practices

Select invoices to be paid with targeted selection

Key Decisions and Best Practices

Choose broad payment methods like the seeded

For a detailed discussion of the costs and benefits of

Key Decisions and Best Practices

Favor standards-based formats that can be used with multiple

Find out what your processing bank supports

Key Decisions and Best Practices

You can use prepackaged validations designed to

Key Decisions and Best Practices

Validations can be associated with payment methods or

Documents payable are validated during invoice entry if

Key Decisions and Best Practices

Or after payment process request submission if the

For a detailed discussion of the costs and benefits of

Key Decisions and Best Practices

Use the Positive Pay File to reduce fraud

Relevant Setup Tasks

Funds Capture Process Profile

Deltas with EBS

Key Decisions and Best Practices

What Payment Methods to Accept

Key Decisions and Best Practices

Bank Account Transfers

Key Decisions and Best Practices

Leverage existing banking or processing relationship

Leverage processors with existing integrations with

Key Decisions and Best Practices