by Apolis Published Apr 13, 2022

Oracle Fusion P2P cycle comprises of the following transaction

  • Purchase Orders
  • Receipts
  • AP Invoices

Purchase orders and Receipts are part of Procurement module and AP Invoice is part of Account payable module. The following two parameters ensure the integration across P2P transactions

  • Match Level
  • Receipt Routing

Match Level will have three options and they are

  • 2 Way
  • 3 Way
  • 4 Way

Match Level Parameter 1 Parameter 2
2 Way PO Quantity Invoice Quantity
PO price Invoice Price
3 Way Receipt Quantity Invoice Quantity
4 Way Inspected/Accepted Quantity Invoice Quantity

Receipt Routing will have three options like

Receipt Routing Parameter
Direct Delivery No Receipt Required
Standard Receipt Receipt Required ,
Receive material to
temporary location ,
Deliver material to
Inspection Required Receipt Required,
Receive material to temporary location,
Deliver material to
subinventory after completing QA

The practical scenarios in which we combine both match level and receipt routing for PO creation are like below

  1. If we are procuring a service item or providing consulting services, then we can go the below options in PO
    • Match Level: 2 way
    • Receipt routing: Direct delivery
  2. Procurement of a standard Item then it will be
    • Match Level: 3 way
    • Receipt routing: Standard Receipt
  3. Procurement of a High quality precision Item then it will be
    • Match Level: 4 way
    • Receipt routing: Inspection Required

Fusion Procurement module Setup steps

Common setup steps are

  • Define Business Unit
  • Supplier and sites creation

Some of the important Procurement setup steps are

  • Manage user creation
  • Roles assignment for procurement
  • Manage procurement agent
  • Manage Payment terms
  • Manage Units of Measure
  • Manage Procurement Document numbering
  • Managing Purchasing Line types
  • Manage Document styles
  • Define Items for procurement
  • Configure procurement Business Function
  • Manage Receiving Parameters

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