OBM

Oracle Business Models

The OBM Business Model

Overview

Release 5.0
What is OBM?
Oracles
Business
Process
Model
Communicates information about Oracles
E-Business Applications...
Links Oracle Applications to the common
language of business process models
Preconfigured models reduce time & risk
Improves Training & Control during
implementation

OBM: Think like a Customer

What do Oracles customers want?
Procure to Pay
Manage Requisitions Approvals Purchase Orders Approvals
PR1180 PR0128 PR1182 PR0129
Manage Authorize Issue A Authorize
Non Production Requisitions Purchase Purchase
Requisition Order Order

Vision Corporation needs new The department manager approves The buyer creates a purchase order The buyer approves the requisition.
monitors for their desk tops. A the requisition. for the selected supplier of the
requisitioner in the creates a monitors.
requisition defining the needs.

Receiving and Inspection Supplier Invoices Accounts Payable

MM1136 MM1135 PR1010 PR1016
Receive Accept or Manage Generate
Material Reject Supplier Payments
Deliveries Invoice Vision Corporation

The monitors arrive at the receiving The received material is inspected The AP Clerk receives the invoice. The invoice is approved by the Purchase Agent
dock. and approved. The invoice is matched against the accounting manager. Purchase Mgr
purchase order. The accountant sends the check to the
The invoice is approved for payment. supplier. Dispatcher

Accountant

Business - NOT just Oracle Oracle Oracle

Product / Technology Application Application Application

Stack Oracle Application Server

Oracle 9i

OBM: Think like a Customer

What is OBM?
Models
Oracle Business Flows
OBM Business Model
Oracle Tutor Procedures for OBM
Methods
OBM Process Library
OBM Standards
AIM for Flows
Business Flow Accelerators
OBM: Think like a Customer
 Oracle Business Model
Plan Source Make Market Sell Support

Customer
Product Operations
Requisitions (PRS03) Sales
Value Chain

Interaction
Development Mgt PR1181 PR1180 Mgt PR1026
Select Manage Manage Mgt
Suppliers Marketing
Non Production Production
Procurement
MgtRequisition Requisitions

Customer
Planning & Materials Order
Service
Forecasting Mgt Fulfillment
Mgt

Supplier Supplier Purchase

Requisitions
Contracts Management
Financial Management Orders
Back Office

Human Resource Management

Non Product Supplier

Project Management Accounts
Approvals
Receiving Invoices Payable
Enterprise Management
Collaboration

Collaborative and Marketplace Services

Mfg/Supply Chain CRM Enterprise (Back Office) Collaboration

OBM: Think like a Customer

 The Source: OBM Process Library
Process Process Name Process
ID Level Definition
HR FA Human Resource Management Functional management of human resource management activity.

Process begins with Budget analysis, moves to the identifying the need for
a job requisition and ends either with hiring of applicants into a vacancy or
HRS01 SP Staffing terminating the applicant or employee assignment.

Process of establishing budgets and predictive modeling with consideration

HR1310 BP Administer HR Budgets to the business plan, hierarchical levels and market standards.
Determine the need for the job in relation to the operating business plan.
Analysis should include type of assignment needed - full or part-time,
HR0189 BP Identify Opening temporary, permanent, etc.

HR0191 BP Describe Job/Position Process to describe the attributes and competencies of the job/position.

One sheet per Functional Area

Processes defined by level: Functional area, Summary
Process, Business Process
Over 750 Business Processes
Business Reference Library

OBM: Think like a Customer

 Tutor Procedures for OBM
Mapped to OBM business
processes
Text Based Task Lists

Automated
Flow Diagrams

Oracle Application Navigation

Can be customized and linked into Oracle Applications as help text

OBM: Think like a Customer

 Flows: Getting down to the business
Requisitions (PRS03) Approvals (PRS05) Purchase Orders (PRS04)
PR1180 PR0128 PR1933
Manage Non Authorize Issue a Non
Production Requisitions Production
Requisitions Purchase Order

Create a requisition Requisition may be Requisition approved PO can be

defining the non for Fixed Assets or via Workflow based automatically created
production, service, non catalog items or on Hierarchy, Job/ via Workflow from
administrative, items one time purchases. Supervisor Setup. Requisition.
needed. Requisitions may be Approvals can be PO can be auto-
maintained, modified, controlled using created manually from
or canceled. amount or account a Requisition.
code.

Approvals (PRS05) Non-Production Receiving (PRS06)

PR1029 PR1935 Roles
Authorize Receive Non
Purchase Orders Production
Goods & Services Supervisor

POs approved via The non-production Ability to control

Workflow based on goods arrive at the Receiving Routings. Requisitioner
Hierarchy, Job/ requisitioner/receivers Receive using
Supervisor Setup. desk. express transactions Purchasing
Approvals can be Two-Way or Three- for fast data entry.
controlled using Way Matching.
amount or account
code.

OBM: Think like a Customer

What is new in OBM (12/02)?
115 Certified Oracle Business Flows
550 Tutor Procedures built for OBM Business
Processes, replacing Visio Swimlane
diagrams
1200 Business Processes
Industry Models
All Business Flow Accelerators Reference
OBM Business Processes BP.080; many
new business processes support these

OBM: Think like a Customer

 Using OBM and Flows
C U S .0 2 M a r k e t in g t h r o u g h O n L in e S e llin g , O r d e r F u lf illm e n t a n d In v o ic in g t o R e c e iv a b le

A n a ly z e M a r k e t M a n a g e M a r k e t in g
MMAAAA. .0011 MMAAMM. 0
. 011 MMAAMM. 0
. 022 MMAAMM. 0
. 033 MMAAMM. .0044 MMAAMM. 0
. 055
AAnnaaly
lyzzee DDeefin
finee BBuuddggeett AApppprroovvee DDeefin
finee PPla
lann EExxeeccuute
te
MMaarrkkeett aanndd CCaalelennddaarr CCaammppaaig ignn CCoonnta
tacctt CCaammppaaigignn CCaammppaaig ignn
LLis
istt

A n a ly z e t r e n d s in D e f in e b u d g e t , M a n a g e r lo g s o n t o T h e t a r g e t a u d ie n c e D e f in e t h e o f f e r t h a t L e t t e r t h a t w ill b e
m a rk e t c a le n d a r , n a m e , t y p e p e rs o n a l h o m e p a g e is d e f in e d a s a lis t o f is in c lu d e d in t h e u s e d in t h e e - m a il
R e c o g n iz e n e e d f o r e t c . f o r c a m p a ig n T h e c a m p a ig n is e - m a il a d d r e s s e s c a m p a ig n w it h c a m p a ig n is d e f in e d
c a m p a ig n D e c id e c h a n n e l: e - a p p ro v e d b y th e p ro d u c t n u m b e r, A ll e - m a il n o t if ic a t io n s
D e f in e C a m p a ig n m a ils t o e x is t in g m anager d is c o u n t r a t e a n d a re s e n t
O b je c t iv e : e - m a il c u s to m e rs m o re
c a m p a ig n t o e x is t in g S u b m it t o m a n a g e r
c u s to m e rs

S e ll O n lin e ( B 2 B ) F u lf ill O r d e r s In v o ic e
OOLLSS. 0
. 011 OOLLSS. .0022 OOLLSS. 0
. 033 OOFFUU. 0
. 011 OOFFUU. 0
. 022 IN
I NVV. 0
. 011
CCuusstotommeerr DDis
isppla
layy PPrroommootio
tionn PPla
laccee th
thee O
Orrddeerr PPic
ickk RReele
leaassee SShhip
ip O
Orrddeerr In
Invvooic
icee O
Orrddeerr
RReecceeiv
iveess M
Maailil PPaaggee OOrrddeerr

T h e c u s to m e r T h e c u s t o m e r lo g s o n A d d p ro d u c ts to T h e o r d e r is r e le a s e d T h e o r d e r s is s h ip p e d T h e in v o ic e is
r e c e iv e s t h e e - m a il to th e w e b s h o p s h o p p in g c h a r t f o r p ic k in g a u t o m a t ic a lly
T h e c u s t o m e r c lic k T h e p r o m o t io n p a g e C h e c k s a d d it io n a l g e n e ra te d
o n t h e lin k in t h e e - is d is p la y e d o ffe rs
m a il t o a c c e s s t h e T h e c u s to m e r c h e c k s E n t e r s h ip p in g in f o .
w eb shop f o r a d d it io n a l o f f e r s C heck out

R e q u e s t C r e d it A p p r o v e C r e d it Pay R e c e iv e P a y m e n t
CCFFUU. 0
. 011 CCFFUU. .0022 CCRREE. 0
. 011 CCPPAA. 0
. 011 RRPPAA. 0
. 011
VVieieww RReeqquueesstt AApppprroovvee CCrreedditit PPaayy th
thee BBaala
lannccee RReecceeiv
ivee
AAccccoouunntt CCrreedditit RReeqquueesstt PPaayymmeenntt

C u s t o m e r r e c e iv e s
p h y s ic a l g o o d s
C u s t o m e r r e c e iv e s
s h ip p in g n o t e ( e - m a il)
C u s t o m e r v ie w s h is
a c c o u n t ( s e lf s e r v ic e )
D u e to a d a m a g e d C le r k a c c e p t s t h e T h e c u s to m e r s e e s T h e p a y m e n t is
p ro d u c t th e c u s to m e r c r e d it r e q u e s t . t h e c r e d it m e m o ( s e lf r e c e iv e d b y e n t e r in g
r e q u e s t 1 0 % d is c o u n t M a n a g e r a p p ro v e s a s s e lf s e r v ic e ) a c a s h r e c e ip t .
a n d c r e a t e s a c r e d it w e ll T h e c u s to m e r p a y s
m em o C r e d it m e m o is t h e b a la n c e .
g e n e ra te d

Business Business Business

Insight Processes Solutions

Consensus Use OBM as the baseline Prescriptive Flows

Building for modeling business Custom Flows
Scope Definition processes Client Business Model
Implementation Capture issues and Long lived procedures
approach: actions on processes
AIM for Flows Assemble Business Flows
to define overall solution

OBM: Think like a Customer

 Using OBM: Implementation
Objective: Successful Implementations of Applications
On Time & Within Budget

CUS.02 M arketing through O n Line Selling, O rder Fulfillm ent and Invoicing to Receivable

Analyze M arket M anage M arketing

M
MAA.01
AA.01 M
MAM
AM.01
.01 M
MAM
AM.02
.02 M
MAM
AM.03
.03 M
MAM
AM.04
.04 M
MAM
AM.05
.05
Analyze
Analyze Define
Define Budget
Budget Approve
Approve Define
Define Plan
Plan Execute
Execute
MMarket
arket and
and Calendar
Calendar Cam
Campaign
paign Contact
Contact Cam
Campaign
paign Cam
Campaign
paign
List
List

Analyze trends in Define budget, M anager logs on to The target audience Define the offer that Letter that will be

Means:
m arket calendar, nam e, type personal hom e page is defined as a list of is included in the used in the e-m ail
Recognize need for etc. for cam paign The cam paign is e-m ail addresses cam paign with cam paign is defined
cam paign Decide channel: e- approved by the product num ber, All e-m ail notifications
Define Cam paign m ails to existing m anager discount rate and are sent
O bjective: e-m ail custom ers m ore
cam paign to existing Subm it to m anager
custom ers

Sell O nline (B2B) Fulfill O rders Invoice

OOLS.01
LS.01 OOLS.02
LS.02 OOLS.03
LS.03 OOFU.01
FU.01 OOFU.02
FU.02 INV.01
INV.01
Custom
Customer
er Display
Display Prom
Promotion
otion Place
Place the
the O
Order
rder Pick
Pick Release
Release Ship
Ship O
Order
rder Invoice
Invoice O
Order
rder

Receives
Receives M
Mail
ail Page
Page OOrder
rder

Flow based The custom er

receives the e-m ail
The custom er click
on the link in the e-
m ail to access the
web shop
The custom er logs on
to the web shop
The prom otion page
is displayed
The custom er checks
for additional offers
Add products to
shopping chart
Checks additional
offers
Enter shipping info.
Check out
The order is released
for picking
The orders is shipped The invoice is
autom atically
generated

implementations
Request Credit Approve Credit Pay Receive Paym ent
CFU.01
CFU.01 CFU.02
CFU.02 CRE.01
CRE.01 CPA.01
CPA.01 RPA.01
RPA.01
View
View Request
Request Approve
Approve Credit
Credit Pay
Pay the
the Balance
Balance Receive
Receive
Account
Account Credit
Credit Request
Request Paym
Payment
ent

Custom er receives
physical goods
Custom er receives
shipping note (e-m ail)
Custom er views his
account (self service)
Due to a dam aged Clerk accepts the The custom er sees The paym ent is
product the custom er credit request. the credit m em o (self received by entering
request 10% discount M anager approves as self service) a cash receipt.
and creates a credit well The custom er pays
m em o Credit m em o is the balance.
generated

2) AIM Current to Future

State Mapping CUS.02 Marketing through On Line Selling, Order Fulfillment and Invoicing to Receivable

Analyze Market
MAA.01
MAA.01
Manage Marketing
MAM.01
MAM.01 MAM.02
MAM.02 MAM.03
MAM.03 MAM.04
MAM.04 MAM.05
MAM.05
Analyze
Analyze Define
Define Budget
Budget Approve
Approve Define
Define Plan
Plan Execute
Execute
Market
Market and
and Calendar
Calendar Campaign
Campaign Contact
Contact Campaign
Campaign Campaign
Campaign
List
List

Analyze trends in Define budget, Manager logs on to The target audience Define the offer that Letter that will be
market calendar, name, type personal home page is defined as a list of is included in the used in the e-mail
Recognize need for etc. for campaign The campaign is e-mail addresses campaign with campaign is defined
campaign Decide channel: e- approved by the product number, All e-mail notifications
Define Campaign mails to existing manager discount rate and are sent
Objective: e-mail customers more
campaign to existing Submit to manager

3) Training
customers

Sell Online (B2B) Fulfill Orders Invoice

OLS.01
OLS.01 OLS.02
OLS.02 OLS.03
OLS.03 OFU.01
OFU.01 OFU.02
OFU.02 INV.01
INV.01
Customer
Customer Display
Display Promotion
Promotion Place
Place the
the Order
Order Pick
Pick Release
Release Ship
Ship Order
Order Invoice
Invoice Order
Order
Receives
Receives Mail
Mail Page
Page Order
Order

The customer The customer logs on Add products to The order is released The orders is shipped The invoice is
receives the e-mail to the web shop shopping chart for picking automatically
The customer click The promotion page Checks additional generated
on the link in the e- is displayed offers

Process Gaps mail to access the The customer checks Enter shipping info.
web shop for additional offers Check out

4) Procedures
Request Credit Approve Credit Pay Receive Payment

& Issues List CFU.01

CFU.01
View
View
Account
Account
CFU.02
CFU.02
Request
Request
Credit
Credit
CRE.01
CRE.01
Approve
Approve Credit
Credit
Request
Request
Pay
Pay the
CPA.01
CPA.01
the Balance
Balance
RPA.01
RPA.01
Receive
Receive
Payment
Payment

1. mmmm Customer receives

physical goods
Customer receives
Due to a damaged
shipping note (e-mail)
product the customer
request 10% discount
Clerk accepts the
credit request.
Manager approves as
The customer sees
the credit memo (self
self service)
The payment is
received by entering
a cash receipt.
and creates a credit well The customer pays

2.mmm mmm Customer views his

account (self service)
memo Credit memo is
generated
the balance.

3. mm m mm

OBM: Think like a Customer

 Why OBM?
Improves Customer / Applications Provider commumication
Helps Oracle think in the customers terms
Addresses Business Management, not just feature/function
Provides a structured approach to managing a business with Oracle
Business Flows can be used in any business as a prescriptive model
Preconfigured models reduce time & risk of implementation
Provides the tools to develop a Customer specific Process Model
Procedures integrated into Oracle Applications can become living
documentation

These business flows

clearly explain how
Oracle APS would
manage my planning!

OBM: Think like a Customer