Internal Requisition to Internal Sales Order

Internal Requisition to Internal Sales Order

Creation Of Item

Create an Item and assign that to both the source and destination organization

Attributes

• Purchased
• Purchasable
• Internal Order Enabled
• Shippable
• OE transactable

Creation of Internal Requisition

Now go ahead and create and Internal Requisition

Go to Purchasing Responsibility

Requisitions -> Requisitions

Note: You should have been defined as an employee/ buyer to create a requisition

1. Type should be Internal Requisition
2. Enter the item in Lines Tab
3. Enter Quantity
4. Enter Need By Date
5. Select the Destination Organization
6. Destination Location
7. Select Source Organization

Click on Save, It will generate the Requisition Number. Note down the requisition number
Now need to Approve the Requisition
If you want to approve this requisition, then you should have required approval authority.
Lets do the required setup
Go to Human Resources (if Installed) responsibility
People -> Enter and Maintain

else in purchasing
Go to Setup -> Personnel -> Employees
Find the employee (if not created already, select new and create one)

Select Assignment

Here assign a Job

Now lets go and check whether this Job has Requisition Approval authority or not

For this, navigate to Purchasing responsibility

Setup -> Approvals ->Approval Assignments

In this form, select the Job which you have assigned to the employee

Now you can see which all document types are authorized to approve

Make sure Approve Internal Requisitions is entered here

If you can’t see this, then add the value

Make sure the Approval Group which you are assigning here that has the approval limit authorization with in which your IR amount comes

As in this case

Here the limit is max $50,000 and our IR amount is only $100

Now Go back to the requisition and approve the same

Query the requisition and click on the approve button

Make sure Submit for Approval selected (it should be by default) then click on OK

Wait for few min as the background process will check and clear the Approval workflow

And re-query the IR again

If Workflow Background Process not scheduled, you can go ahead and manually submit

Now again requery the IR from requisition summary form

You will see the IR is approved

Creation of Internal Order

Next step is to Run the Create Internal Order concurrent program which will interface the data to Order management for creating internal order

Go to View -> Requests -> Submit a new request -> Single Request

Select Create Internal Orders and submit

Once the program is completed, check the log file,

It means the data transferred to Order Entry

Now lets go to Order Management and import the data to create the Internal Order

Navigate to Order Management responsibility

Go to Orders, Returns -> Import Orders -> Order Import Requests

Now enter the below parameters

1. Source as Internal
2. Select your IR number in Order Reference field

Then Click Ok and Submit.

This will spawn another child order import program

Now go ahead and query your Internal order which is just created by importing the data in order organizer form

Orders, Returns -> Order Organizer

Give today’s date to refine

Select the source as Internal and give the IR number in the Order Source Reference

Now Click on Open.

Your internal order is ready

Tables Involved in this process flow

Differences between Internal Sales Orders and Inter-Organization transfer:

• IR-ISO has approval process whereas there is no approval process for Inter-Org transfer
• The IR cycle useful for more tracking, control (IR, SO), approvals and generating pick slips whereas Inter-Org transfer is a one step transaction, simple flow, more user friendly and no interfaces involved.
• RMA is possible in Internal Sales Order whereas in Inter-Org transfer there is no functionality to Cancel, delete or Return or not receive an In-transit Shipment.

When Internal Sales Order and Internal Requisition will be picked up by Inter-Company invoicing process?

Internal sales order and Internal requisitions will be picked by Inter-company invoice process on the following conditions:

• In shipping method, transfer type should be Intransit
• Profile Option INV:Intercompany Invoice for Internal Orders value is Yes on site level. This will be used for creating Account Payable in the Intercompany Invoice process.

Note: Intercompany AP will be created irrespective of the IR received or not as per the standard functionality, INCIAP does not check for the same, it considers only INCIAR created or not.

Below query can be used to find out the eligible records

SELECT RCTL.*

FROM ra_customer_trx_lines_all RCTL, mtl_intercompany_parameters MIP
WHERE RCTL.interface_line_context = 'INTERCOMPANY'
AND RCTL.interface_line_attribute15 = 'Y'
AND RCTL.interface_line_attribute4 = nvl(93,
RCTL.interface_line_attribute4)
AND MIP.sell_organization_id = to_number(RCTL.interface_line_attribute4)
AND MIP.ship_organization_id = to_number(RCTL.interface_line_attribute5)
AND MIP.flow_type = 1
AND MIP.vendor_id is not null
AND MIP.vendor_site_id is not null
AND (line_type != 'TAX' AND extended_amount != 0)
AND NOT (line_type = 'TAX' AND link_to_cust_trx_line_id is not null);