Oracle Projects is suite of modules which combines

Project Costing
Project Billing
Project Foundation
Project Management
Project Resource Management
Project Portfolio Management

Oracle Projects is very useful for any Project Based Organizations. In today's world i can say all he organizations
are based on Projects for ease of maintenance and tracking.

What is the meaning of project costing? What are the elements of a standard project cost sheet.
Project costing is the identification and reporting of all costs generated by a single project. Elements of a standard
project cost sheet would include all production orders, purchase orders and inventoried items are separated and
pegged to the project in order to provide a total project cost

1. What are the standard integrations with Oracle Projects?

(Supplier Costs from AP, PO Commitments, Misc. Trans, Assets, etc).
2. Can you explain what burden and burdened costs are?
(hint: cost markup or value added costs)
3. What is for Project Status Inquiry and how is it updated?
(hint: online reporting engine which captures costs, budgets, etc)
4. At what level are budgets (Cost and Revenue) maintained?
(hint - all levels)
5. What function is use to determine the accounting?
(hint: autoaccounting prior to r12/r12 both autoaccounting and amb)
6. What are the roles used for on a project?
(hint: PM or Project Admin)
7. What is a WBS?
(hint: Work breakdown structure)
8. Can you incur cost at top tasks?
(hint: trick - only if the top tasks has no child tasks)
9. Explain the PA Periods?
(hint: can be more freq than GL)
10. Does OPA integrate with MSProject?
(yes, ask them to explain how)

Project: A project is a primary unit of work that can be broken down into one or more tasks.
Task: It is the small unit of work created under the project against which transaction can be created.
Note: we cannot create transaction/expenditure items directly on the project, hence it is mandatory for each
project to have at least one task.
Project Classes:
Oracle PA has provided three pre defined project classes.
Indirect projects – Track overhead activities and costs of the organization. Note: Does not generate revenue and
invoicing process.
Capital projects – Track asset development activities and costs, and costs are capitalized as one or more
assets.
Contract projects – Contract projects created with external customer to track cost, revenue, and billing.
Project Type:
The project type controls how Oracle Project Foundation creates and processes projects, and is a primary
classification for the projects your business manages. You must set up at least one project type to create projects.
You must set up project types for each operating unit.
Examples of Indirect project: Admin Project, Transport Facility etc.
Example of Contract project: External Project, Intercompany project etc.
Expenditure category: It is the category created to classify the different types of cost an organization may incur.
Revenue category: It is the category created to classify the different types of revenue an organization may earn.
Expenditure type:It is the identification of cost that is associated to an expenditure item.It is assigned to the
expenditure category and revenue category during the setups.
Expenditure class: It is the classification for an expenditure type as how the expenditure type can be used to
create transaction. When an expenditure type is classified for a certain type then only those expenditure class
transactions are allowed to enter.
In Oracle Project Costing we have predefined expenditure classes.
Labor:
Straight Time: For standard time entry. We use the cost rate multiple with number of hours.
Overtime: Labor cost calculated using a premium cost rate multiplied by hours.
Non-labor project costs:
Expense Reports – Expense reports from Oracle Payables or Oracle Internet Expenses. You cannot enter
expense reports directly into Oracle Project Costing. Expense reports that you import into Oracle Project Costing
must be fully accounted prior to import.
Usages – You must specify the non-labor resource for every usage item you charge to a project. For each
expenditure type classified by a Usage expenditure type class, you also define non-labor resources and
organizations that own each non-labor resource.
Supplier Invoices – Supplier invoices, discounts, and payments from Oracle Payables or an external system, and
receipt accruals from Oracle Purchasing.
Miscellaneous Transaction – Miscellaneous Transactions are used to track miscellaneous project costs.
Examples of uses for miscellaneous transactions are:
Fixed assets depreciation
Allocations
Interest charges
Burden Transaction – Burden transactions track burden costs that are calculated in an external system or
calculated by Oracle Project Costing as separate, summarized transactions. These costs are created as a
separate expenditure item that has a burdened cost amount, but has a quantity and raw cost value of zero. You
can adjust burden transactions that are not system-generated.
Work In Process – You use this expenditure type class for Oracle Project Manufacturing WIP transactions that
you interface from Manufacturing to Oracle Project Costing. You can also use this expenditure type class when
you import other manufacturing costs via Transaction Import or when you enter transactions via pre-approved
batch entry.
Inventory – This expenditure type class is used for the following transactions:
Oracle Project Manufacturing transactions that you import from Manufacturing or Oracle Inventory.
Oracle Inventory Issues and Receipts that you import from Oracle Inventory in a manufacturing or non-
manufacturing installation.
Example:
Expenditure
Sr No Revenue category Expenditure type Expenditure Class
Category

1 Labor Time Labor Revenue Standard_Time Straight Time

2 Vendor Cost Service Revenue Supplier_cost Supplier Invoices

3 Travel Cost Travel Revenue Travel Cost Expense Report & Supplier Invoices

4 Misc Cost Misc Revenue Misc_Transactions Miscellaneous and usages

In the above examples for line number 1, time can be entered for expenditure type “Standard_Time”.
Similarly for line number 2 & 4 the respective expenditure class transactions can be entered.
For line number 3 supplier invoices & expense reports can be entered as it has been classified for two different
classes.
Types of Currencies
Transaction amounts are stored in the following currencies:
Transaction Currency:The currency in which a project transaction occurs.
 Expenditure Functional Currency: The functional currency of the expenditure operating unit.
Project Functional Currency: The functional currency of the operating unit that owns the project.
Project Currency: The user–defined project currency.
When you enter transactions in a currency that is different from functional currency or project currency, Oracle
Project Costing must convert the transaction amount to the functional and project currencies. To convert
transaction currencies, Oracle Project Costing must first determine the exchange rate type and exchange rate
date.
Task Type:
Billable Item: It is a functionality associated at the task level identifying the expenditure items created against the
task to be billed to the client.
Non Billable Item: It is functionality associated at the task level identifying the expenditure items created on the
task is only to record the cost incurred against it.
Note: We can adjust the task at the expenditure item window to make the non billable as billable and vice versa.
This is called as expenditure item adjustments.
Employee/Job bill rate Override: Incase a different rate needs to be updated for a particular job or employee the
same can be updated at the project or task level.
The employee name needs to be entered along with the bill rate, currency and period applicable. The rate at the
task level overwrites the rates at the project level and the rates at the project level overwrites the rate of the bill
rate schedule attached at the project level.
Cost rate: It is the rate defined at the job or employee level to derive at the basic cost for a particular expenditure
item. The cost rate scheduled are defined in the OU functional currency.
The cost rate can be defined at two levels:
In the setups -> Expenditure -> Rate schedule.
Overrides: Labor Costing Overrides
( Navigation: PA Responsibility->Setup->Costing->Labor->Labor Costing Overrides.)
Bill rate: It is the rate defined at the job or employee level to derive at an amount which will be billed to the client.
The bill rate can be defined at two levels:
In the setups -> Expenditure -> Rate schedule.
Overrides: At the project level as employee or job override.
For employee override: Navigation: Project -> Options -> – Bill Rates and Discount Overrides -> Employee Bill
Rate and Discount Overrides
For job override: Navigation: Project -> Options -> Bill Rates and Discount Overrides -> Job Bill Rate and
Discount Overrides
Transfer Price Rules and Schedule: Transfer price rules control the calculation of transfer prices for labor and
non-labor cross charged transactions. To drive transfer price calculation for cross charge transactions between
the provider and receiver, use the Transfer Price Schedule window to assign labor or non-labor (or both) transfer
price rules to the provider and receiver pair on a schedule line
ICB: It is a process, where we have different legal entities involved, and the OUs under these LE owns the
employees and projects.
The OU to which the employee is assigned is called PROVIDER OU.
The OU to which owns the project is called RECEIVER OU.
Note: In ICB process, an internal invoice is generated in provider OU.
Borrowed And Lent: It is a process, where we have one legal entity involved, and the OUs under the LE owns
the employees and projects. The employee and project can be in the same OU or different OU but the LE has to
be same.
Note: No internal invoice is generated in B&L process, only accounting happens to post cost.
Labor: When an employee enters time on a specific project it is known as charging efforts of the employee on the
project for a given time frame. This time further has some cost defined to calculate the actual cost incurred by the
employees on the project.
The calculation process of the raw cost for such labor/time entered is called as Labor Cost.
The time can be entered via a third party tool or via the PA pre approved batch.
Overtime – Labor cost calculated using a premium cost rate multiplied by hours.
Non labor expenditure types: The expenditure items created via supplier invoices or expense reports are called
as non labor expenditure types. The expenditure types created need to be added in the non labor expenditure
schedules.
Navigation: PA -> Setups -> Expenditure -> Rate schedule.

Oracle Projects Billing Interface with Oracle Receivables

Oracle Projects (PA) generates draft invoices and uses Oracle Receivables
(AR) features to create invoices and interface the accounting transactions
to Oracle General Ledger (GL). When you interface invoices to
Receivables, a Projects process is used to collect all eligible, released draft
invoices in PA and interfaces them to the Receivables interface
tables. This process also maintains project balances of Unbilled
Receivables and unearned revenue and creates accounting transactions for
these amounts.
Once in the AR interface tables, the draft invoices await further processing
by the Oracle Receivables AutoInvoice process. After the AutoInvoice
program is run to create invoices in Oracle Receivables, you need to run
the tieback process to ensure that your data successfully loaded into
Receivables and that there are no transactions requiring correction. If you
have rejected invoices, you will need to correct and resubmit them.
Standard Oracle Projects reports can be used to track your invoices as you
interface data between Projects and Receivables. You can also use
AutoInvoice output reports to review imported transaction data and
transaction data that fails when you run AutoInvoice. Modification Of
Transaction Lines (PA/AR Out of Sync). It is possible to modify or delete
invoice transactions transferred from Projects to Receivables using the
Transaction Entry Workbench (ARXTWMAI).
THE MODIFICATION OR DELETION OF INVOICE TRANSACTIONS IN
THIS MANNER IS NOT RECOMMENDED BECAUSE IT COULD CAUSE
AR TO BE OUT OF SYNC WITH PA.
Refer to the scripts below to verify the information contained in the PA-AR
invoice interface. Both scripts should normally return the same lines and
revenue amounts:
SELECT l.interface_line_attribute2, l.interface_line_attribute6,
l.revenue_amount, l.interface_line_attribute1, h.reason_code,
l.interface_line_context
FROM ra_customer_trx_all h, ra_customer_trx_lines_all l
WHERE h.customer_trx_id = l.customer_trx_id
AND h.interface_header_attribute2 = l.interface_line_attribute2
 AND h.trx_number = &Transaction_no.
ORDER BY l.interface_line_attribute6;
..and..
SELECT h.draft_invoice_num, l.line_num, amount, p.segment1,
h.transfer_status_code
FROM pa_draft_invoices_all h, pa_draft_invoice_items l, pa_projects_all
p
WHERE h.ra_invoice_number = &Transaction_no.
AND h.project_id = l.project_id
AND h.draft_invoice_num = l.draft_invoice_num
AND l.project_id = p.project_id(+)
ORDER BY l.line_num;
To provide an SQL script to assist in the identification of Projects (PA)
revenue issues.
This script could prove very useful for PA revenue problems. It will sum up
all the accrued and unearned revenue, thus providing a figure for the total
revenue against a project.

select dr.draft_revenue_Num, sum(dri.amount) amt

from pa_draft_Revenues dr, pa_draft_revenue_items dr
where dri.project_id = dr.project_Id
and dri.draft_revenue_Num = dr.draft_revenue_Num
and dr.project_Id = &project_Id
group by dr.draft_revenue_Num;

Oracle Projects 11i & R12 – AutoAccounting – Concept & Overview

How does AutoAccounting work?

For each accounting transaction, you define rules to determine the

appropriate account to charge. Each accounting transaction is identified by
an AutoAccounting function. AutoAccounting functions are components of
programs that you submit to generate accounting entries.

How do you implement AutoAccounting?

The steps are as follows:

a). Design your AutoAccounting setup based on your implementation data.
b). Define lookup sets. Navigation – Setup/AutoAccounting/Lookup Sets.
To define a lookup set, you specify pairs of values. For each intermediate
value, you specify a corresponding account segment value. One or more
related pairs of intermediate values and segment values form a lookup set.
You may need several lookup sets to map organizations to cost centers,
expenditure types to account codes, event types to account codes, or for
other situations where the segment value depends upon a particular
predefined parameter.
You can use a lookup set more than once; several AutoAccounting rules
can use the same lookup set.
You define and modify lookup sets using the AutoAccounting Lookup Sets
window.
c). Define rules. Navigation – Setup/AutoAccounting/Rules.
Each AutoAccounting rule you define supplies one Accounting Flexfield
segment value at a time. Thus, you need to specify one AutoAccounting
rule for each segment in your Accounting Flexfield for each AutoAccounting
transaction you want to use.
Some of the AutoAccounting rules you define can be quite simple, such as
always supplying a constant company code or natural account. Others can
draw upon context information (parameters), such as the revenue category
for a particular posting or the organization that owns a particular asset. You
can even use multiple parameters to provide a segment value.
You can reuse the same AutoAccounting rules for many different functions
and their transactions.
You define rules based on project information that you enter. You can use
these AutoAccounting parameters as input values to your rules. Note:
AutoAccounting does not use Flexfield security rules when determining a
valid account combination. You must define your AutoAccounting rules to
determine the appropriate account based on the rules required by your
company.
d). Assign rules for each function. Navigation – Setup/AutoAccounting/
Assignments.
When you are assigning rules to an AutoAccounting function, you may want
to assign different rules to different conditions. For example, you may want
to account for indirect projects using one set of rules, and use two different
sets of rules for billable items and nonbillable items on contract projects.
To make it easy to do this, Oracle Projects provides function transactions to
each function, which identifies commonly used conditions in which you may
want to assign different rules.
You can assign rules to function transactions for each AutoAccounting
function.
You complete the following steps to assign AutoAccounting rules to
AutoAccounting functions and transactions:
Enable each transaction you want to use
For each transaction you enable, you specify an AutoAccounting rule for
each segment of your Accounting Flexfield

How does AutoAccounting compare to Workflow Account Generator?

Both the account generation processes in Oracle Workflow and

AutoAccounting in Oracle Projects can create account numbers
dynamically, based on transactions in Oracle Projects. This section
compares the Account Generator to AutoAccounting, and provides
directions for:
Assigning a constant or lookup value to a segment
Assigning an attribute parameter to a segment
Deriving a segment value
Learning more about SQL functions to generate account codes

ACCOUNT GENERATOR TERMS OR EQUIVALENT IN AUTOACCOUNTING

FUNCTIONALITY

Workflow or Item Type Function Function

Process Defining and assigning rules to segments

 Attribute Parameter

Assigning a constant to a segment Assigning a constant AutoAccounting rule to a segment

Assigning an attribute parameter to a Assigning an AutoAccounting rule that uses a parameter,

segment which becomes the value (a lookupset is not used)

Assigning a lookup set value to a segment Assigning an AutoAccounting rule that passes a parameter
to a lookup set to determine the segment value

Deriving a segment value by using SQL Using an AutoAccounting rule that derives the intermediate
statements or If conditions value or segment value via a SQL statement.

I have an AutoAccounting Error – where do I start?

In most cases, when a user encounters an AutoAccounting error when

processing Oracle Projects transactions, you will utilize the debug log file to
find the source of the error. Most AutoAccounting errors are specific and will
provide you with enough information for troubleshooting purposes. Setting
the Profile Option ‘PA: Debug Mode’ = Yes will provide more detail
information in the log file.

How can I find out which parameters are valid for an AutoAccounting Function?

Run the IMP: AutoAccounting Functions report.

Can I create or edit existing AutoAccounting transactions?

Oracle Projects predefines AutoAccounting transactions; you cannot modify

them, or define additional transactions.