Oracle SCM Functional Interview Questions & Answers Purchasing Module - Part II

Refer: http://learnoraclecsbscm.blogspot.com
What is a Purchase Requisition?
A purchase requisition contains the description and quantity of the goods or services to be
purchased, a required delivery date, account number and the amount of money that the purchasing
department is authorized to spend for the goods or services.
What are the base tables for a Purchase Requisition?
po_requisition_headers_all
This table stores Header information of a Purchase Requisition. (SEGMENT1 column in this table
represents the requisition number)
po_requisition_lines_all
This table stores information about Requisition lines in a Purchase Requisition. This table stores
information related to the line number, item number, item category, item description, item
quantities, units, prices, need-by date, deliver-to location, requestor, notes, and suggested supplier
information for the requisition line.
po_req_distributions_all
This table stores information about the accounting distributions of a requisition line. Each requisition
line must have at least one accounting distribution. Each row includes the Accounting Flexfield ID
and Requisition line quantity.
What is a Requisition Import Program?
Requisition Import Program (RIP) is a concurrent program, which is used to import requisition from
Oracle or third party software. Data is first loaded in po_requisition_all table. RIP concurrent can
then be run, to import the records from the interface table as requisition in Oracle Processing.
RIP creates a requisition line and one or more requisition distribution for each row it finds in the
interface table. It then groups these lines on Requisitions according to parameters defined
What tables are affected when you run Requisition Import Program?
po_requisition_interface_all
po_req_dist_interface_all
po_interface_errors
What are the reports associated with requisition import process?
Requisition Import Run Report:
We can view the number of requisitions created and the number of records that showed an error
Requisition Import Exceptions Report:
In this report we can see all the rows that fail validation.
When will you use a Requisition Template?
Requisition templates can be used to help users to create requisitions quickly. A requisition template
contains much of the information needed to create a requisition, thus reducing the amount of data
entry required to create a new requisition. If you find yourself repeatedly creating similar
requisitions for your group or department, you should consider creating and saving requisition
templates as a time-saver.
What is the purpose of choosing a Category when creating a requisition?

The Category box is a required field and is used to define goods and services at a summary or
detailed level.
What does the status pre-approved mean?
Pre-Approved is the status of a requisition when an authorized approver has approved the
requisition and has forwarded the requisition to another individual to review.
What is the difference between a rejected and a returned requisition?
Only an approver or a reviewer can reject requisition. Only a buyer can return a requisition. A buyer
will return a requisition to the preparer for incomplete or inaccurate information.
What is RFQ and differentiate the types of RFQs
A Request for Quotation (RFQ) is a formal request sent to the suppliers to find the pricing and other
information for an item or items. Based on the information supplied, the supplier quotes a quotation
against the RFQ form.
In general, RFQs are created before purchasing any item to actually know the price quotes from one
or more suppliers.
There are three types of quotations and RFQs that come with Purchasing by default:
Catalog:
Used for high-volume items or items for which your supplier sends you information regularly. A
Catalog quotation or RFQ also includes price breaks at different quantity levels.
Standard:
Used for items youll need only once or not very often, but not necessarily for a specific, fixed
quantity, location, and date. For example, you could use a Catalog quotation or RFQ for office
supplies, but use a Standard quotation or RFQ for a special type of pen you dont order very often.
Bid:
Used for a specific, fixed quantity, location, and date. For example, a Bid would be used for a large or
expensive piece of equipment that youve never ordered before, or for an item that incurs
transportation or other special costs. You cannot specify price breaks for a Bid quotation or RFQ.
What is a Quotation, what are the different types of Quotations available and describe the Quote
Analysis?
A quotation is a suppliers response to RFQ.
Quote analysis is the process of reviewing the quotations given by the suppliers. The best quotation
will be selected by analysing certain factors like price, quality, delivery time etc.
What is a Purchase Order and explain the different types of POs available
A Purchase order is a commercial document and first official order issued by the buyer to the
supplier, indicating types, quantities, and agreed prices for products or services the supplier will
provide to the buyer.
There are four types of Purchase Orders:
Standard Purchase Order:
Used for One-time purchases for goods and services. Here you know the item, price, payment terms
an delivery schedule
Planned Purchase Order:
Created when you have long-term agreement with the supplier. You must specify the details of
goods and services, payment terms and the tentative delivery schedule
Blanket Purchase Agreement:
Created when the details of items and services, payment terms are known but not specific about the
delivery schedule
Contract Purchase Agreement:

Created when the terms and conditions of a purchase are known but specific goods and services are
not.
What are the base tables that are affected when purchase order is created?
po_headers_all:
This table stores header information of a Purchasing Document. You need one row for each
document you create. (SEGMENT1 column in this table represents the Document number)
po_lines_all:
This table stores the line information of a Purchasing Document
po_line_locations_all:
This table contains the information related to purchase order shipment schedules and blanket
agreement price breaks. You need one row for each schedule or price break you attach to a
document line.
po_distributions_all:
This table contains the information related to accounting distribution of a purchase order shipment
line. You need one row for each distribution line you attach to a purchase order shipment
What is 2-way, 3-way, 4-way matching?
Oracle Payables shares purchase order information from purchasing system to enable online
matching with invoices. Invoiced or billed items are matched to the original purchase orders to
ensure that you pay only for the goods or services you ordered and/or received.
2Way Matching:
Purchase order and invoice quantities must match within tolerance before the corresponding invoice
can be paid.
3Way Matching:
Purchase order, receipt, and invoice quantities must match within tolerance before the
corresponding invoice can be paid.
4Way Matching:
Purchase order, receipt, accepted, and invoice quantities must match within tolerance before the
corresponding invoice can be paid.
Please visit my Blog for more details: http://learnoraclecsbscm.blogspot.com