Whitepaper

Receipt creation and

application using lockbox
in Oracle fusion application

www.jadeglobal.com [email protected] +1-408-899-7200

Contents
Business requirement 02
Solution 02

Lockbox process in Oracle 03

How to get a lockbox file for processing 07

Automation / Integration with Oracle using Boomi 07

Business Requirement

There is always the need for a business to import customer payment receipts from a bank to the Oracle system. Almost all
commercial banks provide lockbox functionality, which can be integrated with the customer ERP system. Here the idea is to
process the receipts in Oracle that are sent to the Bank directly.

Solution
Oracle, the complete ERP, can read the bank lockbox file
and process it, create receipts, and apply them against
open invoices. This Oracle functionality is beneficial in case
of a large volume of data as it does away with manual data
entry of customer receipts. The Bank provides the lockbox
file in a specific format. The file has to be pulled into Oracle
and processed automatically. Receipts have to be
automatically created and applied to existing open invoices
on a FIFO basis.

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Consultation.

02
How the Lockbox process works
in Oracle

Before going into detail, let us understand how lockbox files are processed in Oracle.

1. Define the lockbox – Based on the information provided by the Bank and the business, define the lockbox.

Navigation – Setup and Maintenance → Manage Lockboxes

2. Define the auto cash ruleset –

Navigation – Setup and Maintenance → Manage Lockboxes

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3. Understand the lockbox file transmission format –
a. Oracle provides a specific transmission format the lockbox.

Navigation – Setup and Maintenance → Manage Transmission Formats for Lockbox

b. Each format has its specification. Let us consider BAI2.

c. BAI2 format has 9 transmission records. Each transmission record has different transmission fields. The third-party systems
(external system ) data must be as per the transmission record and transmission fields specification/configuration. If the data is
not as per this format (standard), then one has to convert the data in this format

04
d. The typical BAI2 format file will be as –

100INTERSECT 004300026101122021

2INTERSECT 0043000261000000000040008000801

5000000089053101072021INTERSECT 0043000261

60010010000061000220006611467500300 1530344 000006100001072021USD

70010000890531010720210270001846018

800000008905310107202100270001846018

90000350000000000

e. The file name should always have the prefix - arlockboximportbai2

f. The file has to be converted into a .zip file, and this .zip file to be uploaded on the UCM path – "fin/receivables/import."

4. Run the scheduled process "Load Interface File for Import" to upload the .zip file.

This ESS job will push the data from the file to the interface table.

The parameters of this ESS job are shown in the following screenshot.

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Consultation.

05
5. Once the Process "Load Interface File for Import" is completed successfully, run the ESS job "Process Receipts Through
Lockbox". This will create the receipts and apply the receipts as per the Auro cash rule setups.

6. Once the job "Receipts Through Lockbox" is complete, one can see the receipts in Receivables →Manage Receipts.

06
How to get the lockbox file from
the Bank

The Bank customer will always have an account and accessibility to the bank portal. One can manually download the bank
lockbox file. Then upload the same file (by changing the naming convention as per oracle) on oracle UCM path
"fin/receivables/import". If there is a daily file or files with a massive volume of data, manually downloading and processing
becomes cumbersome. To avoid this manual intervention, we can go for automation.

Choice of integration tool or platform (like Dell Boomi) depends on different factors like available infrastructure, customer choices
etc. There are many integration tools available. We concluded that Boomi is the most appropriate and flexible one to be used.

Oracle integration with Boomi to

automate lockbox file import and
processing
To pull the lockbox file from the bank server location, we decided to develop an Integration between the Bank and Oracle. To
enable complete automation, i.e., picking up the file from the bank server- processing it-creating and applying the receipts to
the invoice, we preferred Boomi. Boomi is a versatile tool and proved very flexible to achieve this.

1. Logical flow –

a. Boomi to connect to the bank server. (Pre-requisite – we must have bank server details, URL, username, password, security
key etc. This varies from Bank to Bank).

b. Once connected, read the file from the bank server.

Note – Bank will always follow a specific naming convention. This will help in picking the required files.

c. Convert into Oracle readable format (say BAI2 format for lockbox).

d. Make a zip and rename the zip as per the Oracle requirement.

e. Using the web service call ESS job "Load Interface File for Import."

f. Using the web service call ESS job "Process Receipts Through Lockbox."

07
2. The Boomi process will be as shown in the screenshot given below.

Node 1 – Convert the file in BAI2 format. Make a zip and rename it as per Oracle standard requirement.

Node 2 –
Run the ESS job "Load Interface File for Import. "
Webservice -
WSDL - https://oracle instance URL/fscmService/ErpIntegrationService?WSDL
Profile: submitESSJobRequest
This will internally call 2 ESS jobs, "Transfer File" and "Load file to the interface."
Note – The import process parameter must have the value "Process Receipts Through Lockbox."

Node 3 –
Submit receipt import
Run the ESS job "Process Receipts Through Lockbox. "
WSDL - https://oracle instance URL/fscmService/ErpIntegrationService?WSDL
Profile: submitESSJobRequest
All parameters with Submit post receipt and validation as 'N'.
The transmission name should be New if a new file is to be processed
This will call the "Process Receipts Through Lockbox: Subprocess" internally

Node 4 –
Submit validation program
Run the ESS job "Process Receipts Through Lockbox. "
Webservice -
WSDL - https://oracle instance URL/fscmService/ErpIntegrationService?WSDL
Profile: submitESSJobRequest
All parameters with validation as 'Y'.
The transmission name should be the same as used in Node3.
This will call the "Process Receipts Through Lockbox: Validation Report."

08
Node 5 –
Submit post receipt
Run the ESS job "Process Receipts Through Lockbox. "
Webservice -
WSDL - https://oracle instance URL/fscmService/ErpIntegrationService?WSDL
Profile: submitESSJobRequest
All parameters with submit post receipt as 'Y'.
The transmission name should be the same used in the Node2
This program will internally call the ESS job "Post Receipt Batch."

Node 6 –
Delete file from bank server. This has to be deleted if the Bank has the policy to keep
the file on the server for 5 days (as may be the case with some). If the file is not
deleted, there are chances of processing the same file again.

3. The Boomi process can be scheduled as per the business requirement or the file's availability on the bank server.
4. All error and success notifications can be very well designed in Boomi and sent to business / IT DL as per need.

Note – Basic AR invoice and receipt setups should be in place for Oracle.

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Consultation.

09
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