Change Orders in Oracle Fusion Purchasing (Part -1)

 

Oracle Fusion Change Order is a feature in the Oracle Fusion Applications suite that allows users to make changes to transactions that have already been processed or approved. This feature is useful when there is a need to make modifications to a transaction after it has been submitted, such as changing the price or quantity of an item, adding or removing a line item, or changing the shipping address.

A change order in Oracle Fusion typically follows a workflow process that involves various stakeholders, such as the requestor, approver, and implementer. The requestor initiates the change order and provides details of the changes required. The approver reviews the change request and approves or rejects it based on various criteria such as budget constraints, project timelines, and business requirements. Once the change order is approved, the implementer updates the transaction with the changes and ensures that the changes are reflected in all relevant systems and reports.

Change Order in Oracle Fusion Procurement

As a procurement agent, requester, or supplier user has option to propose changes to the currently approved version of a purchasing document during issuance and fulfillment.

In any of these roles, evolving business conditions may require you to make changes to active purchasing documents. For example:

1. As a requester whose requisition is being processed in a purchase order, you may want to postpone or cancel what you have requested.
2. As a buyer who's responsible for administering a purchase order, you may want to change the terms or conditions on the order.
3. As a supplier who's tasked with fulfilling the order, you may want to stagger the delivery schedule or revise the pricing.

Change orders enable you to propose changes to an active purchasing document, by indicating your changes to the current version of the document.

During change order creation and approval, the currently approved version of the purchasing document is preserved until the change order processing is complete. The current version is used as the source of truth for all downstream activities such as receipts, invoices, and sourcing against an agreement. Only after approval, acceptance, and validation of the change order is complete does it gets applied to create a new version of the purchasing document.

Note: A Change Order actually creates a separate document to the original Order/Agreement, and the original Order/Agreement remains available for use in its approved Status (Open).

A Change Order can be Internal and External Change Orders.

A change order that proposes changes to only internal control attributes is an internal change order, all other change orders are external. Change order type on a change order indicates whether the change order is an internal change order or an external change order. Unlike an external change order, an internal change order doesn't get communicated to the supplier and doesn't cause a new revision of the document. Although internal changes don't cause a new revision of the document, history of such changes is maintained in the same manner as external changes and can be accessed from the View Change History page.

Change Order Creation 

A change order is created by selecting the document and using the Edit or Cancel action. If an active change order doesn't exist, the application will create a change order for you.

Change Order History

You can view the document change history from the Search, View Purchase Order, or View Purchase Agreement page using the View Change History or the View Revision History action to view archived change orders relevant to you.

Select a change order and take the Review Changes action to view the details of the changes that were proposed on the change order.

Multiple change orders on the same document concurrently

There can be only one active change order on a purchasing document at any point in time. If you have a change to propose and there is an active change order on the same document, you will need to wait for that change order to get processed.

As the buyer on a purchasing document, the application let's you prioritize your changes by allowing canceling the current change order even if it's not initiated by you and creating a new change order for you to propose your changes.

Withdraw/Cancel Change Order

You can withdraw a change order that's pending approval or pending supplier acknowledgment using the Withdraw action, make further edits, and resubmit it for approval. You can also cancel the change order if the change isn't required at all.