SCM Configuration: Items, Inventory Orgs & Costing

The supply chain foundation layer every SCM implementation needs. Master Oracle Fusion SCM foundation configuration — item master design, inventory organisation structure, units of measure, costing methods, and inventory accounting. 12 hrs · 4 sessions. Overview Every Oracle Fusion SCM implementation rests on three foundational components: the item master, the inventory organisation structure, and the costing configuration. Get these right and every downstream SCM process — procurement, order management, manufacturing, and project-driven supply chain — works with the grain of the system. Get them wrong and you spend the project fighting structural problems that cannot be easily fixed once transactions have been posted. This course teaches the Oracle Fusion SCM foundation layer starting from business requirements and working through every configuration decision with downstream consequences. Item master design covers templates, categories, item attributes across organisations, and the master versus child organisation distinction. Inventory organisation structure covers multi-warehouse, multi-site design principles. Costing covers the four valuation methods — standard, average, FIFO, and LIFO — their accounting implications, and how to choose the right one. African supply chains have particular characteristics that affect SCM configuration: multi-currency procurement with restricted currencies, customs and duty cost elements in landed cost, and inventory organisations spanning multiple legal entities and countries. This course uses African distribution, manufacturing, and services organisations as the basis for its design exercises. Learning outcomes • Design an Oracle Fusion item master structure — templates, categories, and attribute control — for a multi-site supply chain operation • Design an inventory organisation structure for a manufacturing or distribution organisation with multiple warehouses and legal entities • Select and configure the appropriate inventory costing method for a given business context and regulatory environment • Configure cost groups and cost elements including landed cost for import-heavy supply chains • Reconcile the Oracle Fusion perpetual inventory report to the GL inventory valuation account and identify the source of variances • Explain the accounting entries generated by every major inventory transaction type and trace them to the account derivation configuration Prerequisites • Basic understanding of supply chain concepts — items, warehouses, inventory valuation • Familiarity with Oracle Fusion navigation • For the costing sessions: Ledgers, Legal Entities & Business Units or equivalent GL knowledge is helpful Modules 1. Item master design — templates, categories, and attribute control (3 hours) The Oracle Fusion item master architecture: what an item is, item templates, item categories, and how the item catalogue is organised. Attribute control level — which attributes are controlled at master organisation level and which can be overridden in child organisations. Item creation sequence: template, functional areas (inventory, purchasing, sales), costing attributes, and organisation assignment. Item revisions, units of measure hierarchies, and item relationships. Real catalogue design exercise: structuring items for an East African distribution company across four warehouses. Topics: Item master architecture; Item template design; Attribute control levels; Item categories; Units of measure hierarchies; Item lifecycle and revisions 2. Inventory organisation structure — design principles and configuration (3 hours) What inventory organisations represent — warehouses, factories, distribution centres, transit hubs. Design principles: when to create an organisation vs a sub-inventory vs a locator. How the organisation hierarchy relates to legal entities. Configuration sequence: creating the inventory organisation, assigning it to a legal entity, defining sub-inventories, and setting interorganisation transfer parameters. The three transfer types — direct, in-transit, and consignment — and when to use each. Topics: Organisation vs sub-inventory vs locator; Organisation hierarchy design; Legal entity assignment; Sub-inventory configuration; Interorganisation transfer types; Transit and consignment inventory 3. Inventory costing — methods, cost groups, and accounting entries (3 hours) The four inventory valuation methods: standard, average, FIFO, and LIFO. Worked examples showing how each values a receipt, issue, and return differently. Business reasons for choosing each method and the regulatory environment in African countries where specific methods are required or prohibited. Cost groups for separate product line costing within one inventory organisation. Cost element configuration: direct material, direct labour, overhead, and landed cost elements. Topics: Standard vs average vs FIFO vs LIFO; Accounting entry differences by method; Cost groups design; Cost elements: material, labour, overhead; Landed cost integration; Period cost cut-off 4. Inventory accounting, reconciliation, and landed costs (3 hours) Accounting entries for every inventory transaction type: purchase receipt, return to supplier, interorganisation transfer, inventory adjustment, physical count result, and cycle count adjustment. Account derivation rules and inventory accounting period. The inventory-to-GL reconciliation: perpetual inventory report vs inventory valuation account in GL. Landed Cost Management: distributing freight, insurance, customs duties, and other import costs across received items — and the accounting. Topics: Inventory transaction accounting entries; Account derivation for inventory; Inventory period accounting; Inventory-to-GL reconciliation; Physical and cycle count accounting; Landed cost distribution and accounting Delivery Pairs naturally with Procurement & Purchasing Configuration as a two-week SCM architecture programme. Groups of 4–8 consultants work best. For teams implementing a specific vertical — manufacturing, distribution, retail — we can customise case studies to match the client context. Certification Certificate of completion Price USD 1100 · per participant per person · indicative · group pricing available HRDC eligibility Up to 75% refundable Mauritius-registered employers may claim this training via the HRDC levy. We provide full documentation to support your claim. Languages English Provider reference SIMPLIT-081-SCM_CONFIGURATION_ITEMS_INVENTORY_COSTING

• SCM consultants implementing Oracle Fusion Inventory, Procurement, or Order Management • Finance architects who need to understand how inventory transactions flow into the general ledger • Implementation consultants expanding from Finance or HCM into SCM modules • Technical architects designing Oracle Fusion for a manufacturing or distribution business • Supply chain managers who want to understand how their Oracle system is structured