Author: Lakshita Betala

The Complete Guide to Data Cleaning in Oracle Integration Cloud

Posted on by Lakshita Betala

Introduction

How much time does your team lose every month fixing failed OIC runs caused by duplicate suppliers, missing employee data, or invalid codes? 

More than you realize. Most of these failures occur due to poor data quality. Oracle Integration Cloud data cleaning is the process of identifying and correcting inaccurate, incomplete, or irrelevant records from your system.
Oracle Cloud data cleansing ensures accurate reporting, maintains compliance, and enables seamless integration between Oracle modules, helping your integrations run smoothly from the start.

Key Data Cleaning Techniques

Concept and Techniques of Imputation

Imputation techniques for enterprise data are critical for handling missing data by replacing null or blank values with estimated or representative ones. Instead of discarding incomplete records, imputation ensures that valuable information is retained for analysis and model training. 

Common imputation techniques include: 

  • Mean/Median/Mode Imputation: Replaces missing numeric or categorical values with the mean, median, or mode of the respective attribute. 
  • K-Nearest Neighbors (KNN) Imputation: Uses values from similar records (neighbors) to fill missing fields. 
  • Regression Imputation: Predicts missing values using regression models based on other correlated features. 
  • Multiple Imputation: Generates several imputed datasets to account for uncertainty, then combines results for more robust estimates. 

These techniques improve the accuracy and reliability of data pipelines, especially within Oracle Integration Cloud workflows, where clean and complete data ensures seamless integration and model accuracy. Handling missing data in Oracle Integration Cloud is essential for maintaining data integrity across all enterprise systems. 

Key data cleaning techniques include handling missing values, removing duplicates, standardization, normalization, outlier detection, and validation. These techniques ensure consistency, accuracy, and trust in enterprise data used within Oracle applications. 

Figure 1 illustrates the state of raw, inconsistent data before cleaning, compared to standardized and reliable data after cleaning. In the Oracle OIC context, this transformation ensures that downstream integrations receive only valid data, minimizing errors in ERP or HCM flows.

Data Cleaning Lifecycle

The data cleaning lifecycle in OIC follows clear stages that ensure reliability at every step.

Figure 2 highlights the cycle of data collection, profiling, cleaning, validation, and deployment. In Oracle OIC, this means data is profiled and validated before integration, reducing downstream reconciliation efforts.

Integration with Oracle Cloud Applications

Data cleaning provides maximum benefit when integrated with Oracle’s core modules, including ERP, HCM, SCM, and CX.

Figure 3 demonstrates how the central data cleaning engine connects seamlessly with ERP, HCM, SCM, and CX. This ensures each module shares consistent, validated data, enabling accurate reporting and end-to-end automation.

Data Quality Dimensions

Definitions of Data Quality Dimensions

  • Accuracy: The degree to which data correctly describes the real-world entity or event it represents.
  • Consistency: The uniformity of data across systems and datasets, ensuring that the same information does not conflict across sources.
  • Completeness: The extent to which all required data is present, without missing or null values.
  • Timeliness: How up-to-date the data is, ensuring it reflects the most current state of business operations.
  • Validity: The adherence of data to defined business rules, formats, and constraints.
  • Uniqueness: Ensures that each record is distinct, without duplication of entities.

Defining these dimensions helps organizations establish measurable data quality standards and enables ongoing monitoring within Oracle environments. Data validation in Oracle Cloud becomes straightforward when these dimensions are clearly defined and measured.

High-quality data can be measured across key dimensions such as accuracy, completeness, consistency, timeliness, validity, and uniqueness.

Figure 4 shows six pillars of data quality. In Oracle systems, ensuring these dimensions reduces redundant entries, missing employee details, or mismatched financial transactions, improving compliance and operational efficiency.

AI/ML Enablement through Clean Data

Clean data powers AI/ML enablement with clean data by reducing noise and ensuring accurate predictions.

Figure 5 presents how clean data feeds into the AI/ML pipeline, ensuring robust feature engineering, reliable training, and accurate predictions. For Oracle OIC, this enables predictive analytics in supply chain, HR forecasting, and customer engagement.

Conclusion

Oracle customers should adopt systematic data cleaning strategies and leverage OIC features to ensure smooth integrations and accurate analytics. A roadmap that incorporates both technical best practices and organizational governance can maximize data value across all business functions.

Area Practice Benefit
Data Entry Control Enforce mandatory field validation for critical attributes (Supplier, Employee ID, Cost Center, BU) Prevents incomplete or invalid records from entering the system
Duplicate Prevention Apply uniqueness and duplicate detection rules Eliminates duplicate suppliers, customers, and employees
Standardization Maintain common naming conventions and code formats across modules Ensures consistency across ERP, HCM, SCM, and CX
Data Audits Schedule periodic automated data quality audits Identifies issues before they affect integrations
Pre-Integration Validation Validate data in OIC before triggering downstream integrations Reduces integration failures
Data Ownership Assign data owners and stewards for master data domains Improves accountability and faster resolution
Monitoring & Alerts Enable OIC fault monitoring and alerts Allows proactive issue handling
Reference Data Control Maintain version-controlled LOVs and lookup tables Prevents code mismatches
User Awareness Train business users on data quality standards Reduces data entry errors

 

Processing Large Data in Oracle ERP System – Extended Guide

Posted on by Lakshita Betala

In the previous part of “Processing Large Data in Oracle ERP System” we discussed code optimization techniques and how they play a crucial role in reports that contain large amounts of data, which is tough to process in ERP systems. We discussed various techniques, like query optimization or query restructuring, or processing it outside of the system, to achieve the expected results.

We discussed how to handle large datasets in Oracle Fusion ERP that lead to slow reports, failed integrations, and performance bottlenecks due to system limits. We also discussed performance improvements; it can be improved in two ways: 

  1. Code Optimization (proper joins, removing subqueries, using views, query tuning)
  2. Data Size Reduction (filters, chunking, bursting)

When Fusion’s transactional system struggles, offloading heavy processing to data warehouses (OAC/BICC) or third-party tools (Power BI, APEX) can significantly improve performance. By applying these techniques, organizations can generate faster reports, avoid timeouts, and maintain smooth business operations as data volumes grow. 
 
While these discussed techniques are helpful to refine the logic and efficiency of queries, performance issues persist if data size is large. As we know, it is hard to process millions of rows of data in cloud-based ERP systems. Even fine-tuned queries also struggled while processing millions of rows.  

Understanding Large Data Set Challenges 

When working with ERP systems like Oracle Fusion, especially reports where data is large, like GL Transactional Balance or Supplier Aging Report. These types of reports, once executed in the blink of an eye, can lead to failure because of the data size.

Unlike traditional databases, Fusion ERP operates on a cloud-based transactional model, where

  • We cannot access the database directly to create indexes or partitions for performance tuning.
  • Resource limits (like BI Publisher data row limits or API payload sizes) are enforced by Oracle.
  • System performance depends heavily on how efficiently data is filtered before execution.

Hence, the idea is not to pull all data at once and process it, but to request and fetch only that data which is necessary.

Key Strategies For Data Size Optimization

  1. Filtering at Source 

One of the most effective ways to reduce data size is to filter data at the source level using query parameters in the report. It is recommended to apply filters in the query to reduce data size.  

For example, as we know, aging reports or trial balance reports generate a huge amount of data. To reduce the data, we can use parameters like from and to date in non-aging reports, and for aging reports, we can restrict data based on suppliers or business units. 

This ensures that the query fetches relevant rows instead of scanning the entire dataset.

 2. Chunking 

One of the features available in Fusion is chunking, allowing data to be processed in smaller and manageable portions. Chunking divides the large output into smaller parts and prevents timeout. 

  • Steps to enable chunking in BI Publisher 
  1. First, we need to enable chunking at the instance level.
    For this: Administrator -> Manage Publisher -> Runtime Configuration -> Set Enable Data Chunking to True. This will enable the chunking option in the data model

2. After enabling it in the runtime configuration, go to the data model, and now we can see the chunking option there. Here, select the data model under “split by” to enable chunking on that data set. 

3. After enabling chunking of the data model, the final step is to enable it at the report level. To enable it at the report level, edit the report and under properties, enable chunking and provide the chunking size (Between 100 MB and 300 MB)

4. This will enable the chunking, and the report output will be divided into size of 300 MB.

3. Bursting Reports 

Bursting allows reports to be split in parts based on recipients or data categories. For example, One large report divided into parts based on supplier, Business Unit. 

  • Advantages 
  1. Speed up report deliveries 
  2. Provides data segregation for better compliance and access control 
  3. Reduce the runtime by executing it in parallel

4. Incremental Reporting

Instead of processing the entire dataset every time, use incremental extraction to fetch only new or changed records since the last run.

  • Maintain a “last run date” parameter
  • Use logic like WHERE last_update_date > :p_last_run_date
  • Combine incremental data with previously stored results in a downstream system (data warehouse, BI tool, etc.)

This drastically reduces report size and execution time while keeping data current.

Conclusion

Handling large datasets in Oracle Fusion ERP requires a balance between code optimization and data size management. 

  • Part 1 focused on writing efficient queries, using views, and optimizing joins. 
  • Part 2 explored how to manage the volume itself through filtering, chunking, bursting, and incremental processing. 

Together, these strategies form a complete framework for high-performance reporting and integration in Oracle Fusion ERP.
By adopting these practices, organizations can ensure scalability, maintain stability, and deliver data faster even as their systems continue to grow.

Transform Your Financial Close with Smart Accrual Clearing in Oracle Fusion

Posted on by Lakshita Betala

Introduction

Tired of managing and reconciling huge data in Accrual accounts? We have designed a strategy to simplify the management of Accrual accounts in Oracle fusion which has saved 500+ hours of the users across multiple clients over a year. 

Accruals act as a bridge between goods/services received and the corresponding invoice receipt. While accruals ensure accurate financial reporting, they must be cleared in a timely and consistent manner to avoid inflated liabilities and misstated books.  

In Oracle Fusion, Accrual Clearing is the process of reconciling and eliminating accrued amounts once the corresponding supplier invoices are matched and accounted for.

Understanding Accrual Clearing in Oracle Fusion

Ms. Teresa, a Finance Controller of a multinational manufacturing company in the US, could not answer the statutory auditors when they asked the reasons for such huge accrual balance. The auditors insisted on clearing the long outstanding balances which do not represent a reasonable actual liability. Being confused with the further steps, she reached out to us to understand how is the accrual clearing process being managed in Oracle Fusion. 

When a Purchase Order (PO) receipt is created for goods or services, Oracle Fusion automatically records an accrual — typically crediting the Accrual account. This entry represents the organization’s obligation to pay the supplier once the invoice is received. 

When the supplier invoice is matched to the PO receipt and accounted for, Oracle Fusion generates the reversal of the accrual, effectively “clearing” the liability from the accrual account to the actual liability account (Accounts Payable). 

  • PO Receipt with Delayed Invoice
    Goods/services are received in one accounting period, but the supplier invoice arrives in a later period. Accruals ensure the expense is recognized in the correct period and later cleared when the invoice posts. 
  • Year-End Cut-Offs
    At financial year-end, outstanding accruals must be cleared promptly in the next period to maintain accurate carry-forward balances. 

Business Cases Requiring Manual Accrual Clearing

Ms. Teresa appreciated the explanation and now she was more curious to understand what the situation would be where she would require a manual clearing to be done as the system automatically clears the accrual balance when the invoice is created. 

She believed only the cases where the Invoice is not received from the supplier would require a manual clearing. But we explained that this is not the only case where manual clearing is required. All Unmatched or Overdue Accruals would be because of following reasons –  

Reasons  Nature of Balance in Accrual Account 
Invoices are not received for a long time even after multiple follow ups with the supplier, but the receipt is created.  Credit Balance 
Over Invoicing is created for the receipt  Debit Balance 
There is a difference between PO and Invoice because of rounding amounts  Either Credit or Debit Balance 
When the Return Receipt is created at difference price than the Receipt because a Change Order is created for PO.  Either Credit or Debit Balance 
If the Receipt and Cost Accounting entries are not matching, then the difference shall be open at the Accrual account.  Either Credit or Debit Balance 
If PO is cancelled after creating a receipt.  Credit Balance 

Flow of Reconciliation activities 

After understanding the reasons for which Manual Clearing is required, Ms. Teresa was so confused with what steps need to be taken to identify such anomalies from such a huge chunk of data. They had not done any such detailed analysis in past 3 years since Oracle Fusion was implemented. Here, we provided the following steps to perform the reconciliation –  

  • Run Accrual Reconciliation Report from Schedule Process
    This report provides the PO-wise list of open accrual balances including the transactions booked for each PO line including Receipt Accruals, Returns, Adjustments, Invoice/Credit Note created. 
  • Extract Manual entries in the Accrual Account using Account Analysis Report from Schedule Process
    We can get the entries which are having source other than “Payables” and “Receipt Accounting”. Reason for such entries need to be analyzed and reversed. 
  • Accrual Clearing of open transactions
    After identifying the PO lines for which the open Accrual balances need to be adjusted, she needs to go the Adjust Accrual Clearing Balances task in the Receipt Accounting module and perform the manual clearing. 

Issues in Accrual Reconciliation Process and Solutions provided

While performing the steps, Ms. Teresa faced many issues because the volume of transactions was very huge, and the analysis was not easy. Even after following the above steps, Ms. Teresa was unable to justify the auditors for the open balances. She also requested solutions to permanently solve these issues. The list of issues identified, and solution provided is as below –  

Issues  Examples  Solutions Provided 
Manual entry directly in the Accrual account  Manual entries directly in GL for booking ad hoc accruals.  Categorize the Accrual account as “Third Party Control Accounts” under COA values and use separate account for booking manual ad hoc accrual entries. 
Accrual entry for a different Accounting Class  Even after restricting manual entries in Accrual account, it can be used within Subledger transactions incorrectly. For Example, entering Accrual account as a Distribution combination while creating a Non-PO Matched line in AP Invoice will have the accounting class as “Item Expense” instead of “Accrual”.  A custom report has been developed by us to provide the information of Invoices where the accrual account is used without being matched to a purchase order. Additionally, we have enabled page level warning message through our “Orbri” plug-in to restrict entering accrual account while creating Non-PO Matched Invoice Line and enable approval workflows for Non-PO Matched Invoice Lines. 
Accrual Reconciliation Report (Seeded)  This seeded report’s format cannot be used for analysis of larger data, and no aging is available.  We have created a custom report which provides PO wise data in a Tabular format along with the Accrual Open Balance Aging Analysis which is more user-friendly. 
Missing Transactions for Returns  The Credit note is created by the Finance Department, but receipt return is not booked by the Stores Department or vice versa resulting in incorrect Accrual balances  Such inefficiencies in Business Processes were identified, and proper internal control processes were suggested so that no transaction booking is missed. 
Inadequate Match Approval Level Configuration  When 2-way match option is selected, the invoice can be created even if the receipt is not created by the Stores Department.  Either 3-way or 4-way match options should be selected, and the business process should be defined to record the receipts by Stores department and then only the invoice can be validated. 
Mapping Open balances with Accrual Clearing page  This is an identified Oracle bug where the balance in Accrual Clearing page might be different as against the actual PO wise open balance of Accrual because of some anomalies in Receipt and Cost Accounting entries. Oracle Bug – Bug 29783382  We need to match these balances using the custom report as no such seeded report option is available and in case of any differences, the Accrual clearing entries need to be monitored. 
Manual Clearing of Old Accrual balances  There is extreme manual effort to analyze and clear off the balances.  On timely basis the open Accruals shall be reviewed, and the old balances (eg., > 90 days) shall be cleared off for which no invoices are expected to be received using Automated Accrual Clearing Rules and Aging analysis. 
Data Migration Strategy for open PO  Using same Accrual account for migrating open accrual balances and booking new transactions. This will make the account look clumsy and reconciliation difficult. 

Using the same accrual account for migrating open accrual balances and recording new transactions can clutter the account and complicate reconciliation. 

 While migrating open Purchase Orders or Receipts, a dummy account shall be used for parking the Accrual balances which are booked in the legacy system. This account shall only be utilized for booking the invoices received later which can help in better tracking of the Accrual balances. Once the balance in this account is zero, this account shall be disabled. 

Benefits of Reviewing Accrual Balances 

After implementing the solution and monitoring the process for over a year, Ms. Teresa was applauded by the CFO, and they were able to notice significant benefits in following areas –  

Improved Financial Accuracy  Ensured that liabilities in the balance sheet truly reflect actual obligations, avoiding overstatement of inventory, expenses or liabilities. 
Enhanced Audit Readiness  Clean, reconciled accrual balances make it easier to respond to statutory and internal audit queries which reduced audit risks and exceptions. 
Better Cash Flow Planning  They had more accurate view of outstanding payables, which improved payment forecasting and working capital management. 
Compliance with Accounting Standards  It aligns with IFRS and GAAP matching principles, ensuring expenses are recognized in the correct period and accruals are adjusted when it is no longer “probable” that an outflow of economic benefits will be required to settle the obligation.  
Operational Efficiency  It helped identify bottlenecks and improving business processes 

– delayed invoice submission by suppliers 

– delayed recording of invoices by AP Team 

– inefficiencies in goods receipt/return recording. 
Improved Vendor Relationship Management  It facilitated faster resolution of discrepancies between POs, receipts, and invoices reduced disputes and built trust with suppliers. 
Stronger Internal Controls  It acted as a control to detect anomalies, such as receipts without invoices, cancelled orders, or duplicate entries. 

Best Business Practices for Accrual Clearing Rules in Oracle 

To minimize the manual intervention, we had defined Accrual Clearing rules based on the business process and policies followed by the client. The following considerations were discussed with Ms. Teresa while defining the rules – 

  • Accrual Clearing Rules – These are system configurations that determine how and when accrual balances are cleared.  \Key elements based on which rules can be defined –  
    • Accrual account(s) mapping
    • Source & event classes
    • Matching criteria
    • Ledger/BU scope
    • Automation/manual choice
    • Amount threshold
    • Aging criteria
  • Defined Business Unit wise Accrual Cutoff Rules to ensure adequate transactions are only considered under the Accrual Clearing Rules based on different terms of business in different geographies.
  • Drafted an Accrual Clearing Policy considering the following pointers –
    • Alignment with accounting standards and Localization impacts
    • Ownership & Accountability
    • Frequency of review
    • Handling exceptions

Conclusion

Accrual clearing in Oracle Fusion is not just a system process; it is a critical financial control, and a well-defined policy which ensures that accrued liabilities are accurate, aged items are addressed, and financial statements remain reliable. By combining system capabilities, cross-functional collaboration, and industry best practices, many organizations along with Ms. Teresa were able to turn accrual clearing into a seamless part of their period-close routine and save a lot of effort in terms of time and money

Why Healthcare Procurement is Unlike Any Other Industry: An Oracle Fusion ERP Perspective

Posted on by Lakshita Betala

Introduction

Healthcare procurement operates in a space unlike any other. While manufacturing emphasizes cost control and retail pursues supply chain speed, healthcare must balance patient safety, regulatory compliance, and clinical outcomes often in real time. Implementing systems like Oracle Fusion Procurement in this environment demands far more than technical expertise; it requires a nuanced understanding of how procurement impacts lives.

The Life-Critical Nature of Healthcare Procurement

Procurement decisions in healthcare are not just operational they’re clinical. Delays or substitutions can directly affect patient care. In high-acuity environments such as trauma centers or ICUs, even a brief stockout of a specialized implant or catheter can lead to significant clinical risk.

In Oracle Fusion, such risks can be mitigated with:

  • Critical item shortage alerts
  • Integration with clinical systems for proactive planning
  • Advanced approval workflows with escalation protocols

In some healthcare settings, real-time shortage notifications have been configured to trigger when stock levels fall below forecasted usage providing a 72-hour buffer for action before clinical impact occurs.

Regulatory Compliance: Beyond Business Standard

Few industries face the level of regulatory scrutiny that healthcare does. Audits often demand complete traceability from supplier credentials to product usage history. Organizations must demonstrate not just what was purchased, but when, how, and for whom.

Oracle Fusion supports this through:

  • Vendor qualification workflows that validate certifications such as FDA, CE, or ISO
  • Lot and serial tracking linked to receiving and usage records
  • Integrated recall management for identifying affected products and patients
  • Comprehensive audit trail functionality

In environments where regulatory inspections are routine, Fusion’s ability to instantly produce compliance reports and product genealogy logs has proven invaluable.

The Clinical User: A Unique Procurement Stakeholder

Unlike other industries, healthcare procurement frequently interfaces with clinicians physicians, surgeons, nurses who influence decisions based on patient outcomes rather than just price.

Consider orthopedic implants, where a small difference in revision rates might justify a premium brand. In many organizations, value analysis committees have begun using clinical outcome data in tandem with procurement metrics to assess product performance.

Oracle Fusion enables this by supporting:

  • Clinical preference tracking within item catalogs
  • Outcome-linked procurement reporting via OTBI or analytics tools
  • Custom approval workflows based on clinical justification
  • Mobile-friendly interfaces for on-the-go approvals during emergencies

This alignment of clinical insights with procurement decisions is helping healthcare providers make more data-informed, patient-centric choices.

Supply Chain Complexity: When Every Minute Matters

Healthcare doesn’t operate on “business hours.” Supply chain teams frequently face 24/7 demand for life-saving materials. Emergency procedures, unplanned admissions, and supply disruptions require rapid procurement flexibility.

In one hospital scenario, an emergency balloon catheter was needed at 2 AM, only to discover the standard vendor was out of stock. The system had to support:

  • Alternative vendor identification
  • Emergency PO creation
  • Clinical equivalency verification
  • Regulatory compliance confirmation

Oracle Fusion’s emergency procurement workflows enabled a seamless response bypassing standard approvals while maintaining audit compliance.

The procedure was completed successfully, but the event highlighted a broader issue in healthcare procurement: “next business day” simply doesn’t work in a life-critical environment.

Following this incident, several enhancements were introduced, including Oracle Fusion’s PAR (Periodic Automatic Replenishment) feature for critical care areas.

The PAR replenishment system significantly improved how inventory was managed in high-stakes environments such as operating rooms, ICUs, and emergency departments. Each location was set up with automated stock level monitoring using predefined minimum and maximum quantities. Now, when a cardiac catheter or similar item is used during a procedure, the system automatically triggers a replenishment order if the quantity drops below the PAR threshold.

This proactive approach has helped eliminate such emergency procurement situations and ensures critical supplies are available exactly when needed, without relying on manual interventions or after-hours escalations.

Value-Based Care: Redefining ROI in Procurement

The healthcare industry’s move toward value-based care changes how procurement success is measured. It’s no longer just about unit costs it’s about the total cost of care, including clinical outcomes and patient satisfaction.

For example, in joint replacement procedures, cheaper implants may result in longer hospital stays or higher readmission rates. Procurement teams equipped with integrated data have found that selecting a higher-cost implant with better clinical results can actually reduce the overall cost per episode.

Oracle Fusion supports this model by enabling:

  • Total cost of ownership analytics
  • Bundled payment tracking
  • Outcome-based contract management
  • Integration with EHRs and quality dashboards

Procurement is now viewed not just as a cost center, but as a strategic function supporting clinical and financial goals.

Risk Management: Extending Beyond Finance

While financial and operational risks are common across industries, healthcare adds clinical risk and regulatory exposure into the mix. Contaminated products, supplier recalls, and data traceability gaps can quickly escalate into safety incidents.

Oracle Fusion helps mitigate these risks through:

  • Lot-level traceability linked to clinical systems
  • Automated recall management workflows
  • Supplier risk scoring incorporating compliance, incident history, and delivery performance
  • Continuity planning tools that prioritize patient care over cost optimization

These capabilities allow procurement teams to act swiftly in high-stakes scenarios whether it’s pulling recalled products or rerouting supplies during a shortage

Technology Integration: A Healthcare Imperative

Healthcare organizations typically run complex IT ecosystems including EHRs (Electronic Health Records), LIS (Laboratory Information Systems), and HIS (Hospital Information Systems). Oracle Fusion must integrate cleanly into this environment without disrupting clinical workflows.

Key integration priorities include:

  • HL7 and FHIR-compliant data exchange
  • Procurement – EHR/HIS interoperability
  • Secure access controls and data governance
  • Real-time sync between clinical usage and inventory

Seamless integration ensures that procurement doesn’t just support operations it enables care delivery.

Conclusion: Procurement at the Heart of Patient Care

Implementing Oracle Fusion in healthcare is more than a system deployment it’s a clinical enabler. Healthcare procurement must be agile, transparent, compliant, and outcome-driven.

Those who understand its unique challenges will not only improve operational efficiency but also contribute meaningfully to patient safety, care quality, and organizational resilience.

In a Nutshell, Healthcare procurement stands apart from every other industry because it directly influences patient outcomes, regulatory compliance, and clinical effectiveness. Unlike manufacturing or retail, where cost and speed dominate priorities, healthcare demands agility, transparency, and safety in every transaction. Oracle Fusion ERP addresses these unique challenges by integrating clinical insights, automating compliance, enabling real-time responses to shortages, and providing deep analytics to support value-based care. The table below highlights how Oracle Fusion aligns its capabilities with the distinctive needs of healthcare procurement.

Aspect Unique Challenges in Healthcare Procurement Oracle Fusion ERP Capabilities
Life-Critical Nature Procurement decisions directly impact patient safety; delays or stockouts can cause clinical risks. –          Critical item shortage alerts

–          Integration with clinical systems

–          Advanced approval workflows

–          Real-time shortage notifications with 72-hour buffer
Regulatory Compliance Heavy regulatory scrutiny; need for complete traceability of suppliers and products. –          Vendor qualification workflows (FDA, CE, ISO)

–          Lot & serial tracking

–          Recall management

–          Comprehensive audit trails & compliance reports
Clinical Stakeholders Clinicians (doctors, surgeons, nurses) influence procurement based on outcomes, not just price. –          Clinical preference tracking in catalogs

–          Outcome-linked procurement reporting

–          Custom approval workflows

–          Mobile-friendly emergency approvals
Supply Chain Complexity 24/7 demand and emergency procurement needs; “next business day” isn’t viable. –          Alternative vendor identification

–          Emergency PO creation

–          PAR replenishment system for ICUs, ORs, and ERs

–          Clinical equivalency verification
Value-Based Care Shift from unit cost focus to total cost of care; ROI measured by outcomes and patient satisfaction. –          Total cost of ownership analytics

–          Bundled payment tracking

–          Outcome-based contract management

–          Integration with EHRs and quality dashboards
Risk Management Risks extend beyond finance to patient safety (recalls, contamination, shortages). –          Lot-level traceability

–          Automated recall workflows

–          Supplier risk scoring

–          Continuity planning prioritizing patient care
Technology Integration Must integrate seamlessly with EHR, HIS, and LIS systems without disrupting workflows. –          HL7/FHIR data exchange

–          Procurement–EHR/HIS interoperability

–          Secure access controls

–          Real-time clinical–inventory synchronization

Unlocking Payment Confidence: How ISO 20022 Acknowledgements Drive Payment Excellence in Fusion

Posted on by Lakshita Betala

Introduction

In today’s fast-evolving financial ecosystem, large enterprises and shared service centers depend on ERP platforms like Oracle Fusion Cloud to automate and simplify vendor payment processes. However, while initiating payments is only the first step, ensuring that those payments are successfully received and processed by banks is equally critical.

This is where payment acknowledgements play a vital role — offering transparency, minimizing risk, and driving operational efficiency. With the help of ISO 20022-based acknowledgements in Oracle Fusion, finance teams now gain near real-time visibility into payment statuses. This feature bridges the communication gap between ERP systems and banks, helping organizations mitigate operational risks and achieve faster, more accurate cash flow management.

Pre-requisites: If you’re reading this, we’ll assume you already speak a bit of the H2H (Host-to-Host) language in Oracle Fusion. That means you’re familiar with the essentials — things like Transmission Configurations, Payment System Accounts, file formats, and Payment Process Profiles.
Oh, and one more thing, make sure your bank speaks ISO 20022 too! You’ll need their support for both payment and acknowledgement files to make the magic happen.

The Evolution of Payment Confirmation in ERP: From Manual Pain to Automated Precision

Aspect  Life Before ISO Acknowledgements (Manual Pain Points)   The ISO Acknowledgement Feature (A Game Changer)   Why Acknowledgements are Crucial in ERP (Core Value)  
Confirmation Method  Manual/Delayed: Relying on bank portals, custom middleware (SOA/OIC), or checking end-of-day bank statements.  Automated/Real-Time: Automated upload and parsing of ISO 20022 acknowledgement files.  Instant Verification: Provides confirmation of payment file receipt and detailed processing status from the bank. 
Key Challenge / Benefit  High Operational Overhead: Required significant manual intervention and custom, bank-specific integrations.  Streamlined Efficiency: Eliminates the need for custom OIC/API workarounds, offering a seeded solution in Oracle Fusion (since Release 23D).  Error & Cash Flow Certainty: Gives immediate visibility of rejections/errors, crucial for accurate cash flow reporting and vendor satisfaction. 
Visibility & Speed  No Real-Time Insight: Payment status was often delayed until the next business day or through manual checks.  Real-Time Status Updates: Updates payment status directly within the ERP dashboard for immediate insight.  Enhanced Control & Transparency: Offers a higher degree of control and transparency over the entire financial operations cycle. 
Error Handling  Delayed Detection: Errors or rejections were often found hours or days later.  Automatic Resolution: Features auto-voiding of rejected payments and automatic handling of linked invoices.  Seamless Reconciliation: Greatly improves the reconciliation process and minimizes manual errors. 
Audit & Control  Lack of Auditability: Exception handling was complex and difficult to track consistently.  Enhanced Traceability: Provides robust audit trails, ensuring every step of the payment cycle is accounted for.  Solid Foundation: Enhances control, transparency, and the reliability of financial operations and auditing. 

 

ISO 20022 Disbursement Acknowledgement Levels

Acknowledgment Level  What it Confirms (Oracle Docs)  Consulting Considerations 
L0 (File Level)  Bank confirms receipt and file syntax is correct.  A successful L0 means nothing about the money movement. Silence after L0 is a potential “silent failure”. 
L1 (Payment Level)  Bank confirms transactions passed technical/business validation.  Partial Rejection requires immediate AP action. If the rejected invoice is auto-voided, the AP team must handle the accounting consequences of the voided payment and the subsequent re-invoicing/re-payment cycle. 
L2 (Clearing Status)  List of final rejections after the clearing process.  Critical for reconciliation and treasury, but not all banks provide L2—confirm during testing. 

L2 confirmations are especially useful for Cash Management Reconciliation, since they validate whether funds were settled. 

 

 

Enabling ISO Acknowledgements in Oracle Fusion: Setup Guide 

Prerequisites for ISO 20022 Acknowledgement Integration in Oracle Fusion 

  • Secure file transmission with the bank must be established (SFTP, SWIFTNet, or another secure channel).
  • The H2H setup must be working for outbound payments and inbound bank files.
  • Bank must support ISO 20022 format for payment and acknowledgement files.

Step-by-Step Configuration:

  1. Manage Payment Systems
  • Search for and edit the seeded “ISO20022 Payment System”
  • Note down the configuration settings

  1. Add the required settings to the payment system used for sending payment files, such as:
  • Automatic Retrieval Interval (e.g., 30 mins)
  • Auto-Voiding Option (Yes/No): If set to Yes, the system will automatically void payments that have a rejection status in the acknowledgement file.
  • Acknowledgement Format
  • Transmission Configuration (SFTP/HTTPS/UCM)
  • Voiding Invoice Action (None / Hold / Cancel)
  • Email Notifications toggle
  • Payment File Register Format for audit tracking

  1. Click Save and Accounts. Then we can observe the setting added in the previous step on this page. Input the details as per the requirement as shown below.

       

  1. Save & Link to Payment Process Profile
  • Ensure the same payment system is selected in the process profile that handles file transmission

Monitoring & Retrieving Acknowledgements 

Once a payment is transmitted, it appears under Manage Payment Files as shown below.

Acknowledgements can be retrieved using: 

  • The Retrieve Disbursement Acknowledgements task
  • Manual triggers from the payment files screen

On successful retrieval, the system: 

  • Updates the payment status
  • Reflects acknowledgement details
  • Initiates invoice handling based on setup

 

  

If acknowledgements cannot be retrieved due to errors or bank-side delays, Force Acknowledgement can be used. However, this should be a last resort to avoid reconciliation mismatches. 

Implementation Challenges 

Challenge  Recommendation 
Bank Interpretation Variations  ISO 20022 is flexible; banks may interpret formats differently. Thoroughly coordinate with the bank and test acknowledgements during SIT/UAT. 
Auto-Void Strategy  Decide early between ‘Hold’ (faster re-initiation) and ‘Cancel’ (better GL separation but complex re-creation if posted). 

 
Retrieval Performance  Start with 30-minute intervals and adjust based on volume; consider real-time only for high-value urgent payments. 

 

Conclusion 

The introduction of ISO 20022 Acknowledgement Processing in Oracle Fusion Release 23D marks a pivotal enhancement for finance teams and consultants. It eliminates the dependency on custom integrations and manual tracking by enabling secure, real-time, and automated reconciliation between ERP and banks. 

This feature not only simplifies payment configuration but also drives operational efficiency, enhances audit capabilities, and reduces reconciliation cycle times — all critical to a modern ERP-driven finance ecosystem. 

By embracing this feature, organizations can step confidently into the future of intelligent, integrated, and automated payments.

 

How to Make Your Data Impossible to Misread

Posted on by Lakshita Betala

Introduction 

Today, people make fast, sharp, and data-driven decisions as far as possible. Yet even the most important data might fall flat if it’s not presented well. Reporting does not need to be the kind of lazy, default visuals where a pie chart is used and generic tables are fashioned without considering whether they are indeed the best fit for the data or the story. 

This blog fills that gap: helping you with the best type of visualization appropriate for your data, whether you build reports within Oracle BI, OTBI, Oracle Analytics Cloud, or Power BI. You will know by the by-the-what, when, and why of using that representation. 

Why Do We Visualize Data

The human eye was never designed to study rows of numbers; it’s built to identify patterns, spot anomalies, store visual information in long-term memory, and react to attention-grabbing signals.
Visualizations bridge the gap between raw data and human perception, turning complexity into clarity. This is why a well-designed chart can tell a story briefly, while a spreadsheet forces the mind to slow down and decode.

The Data-to-Ink Ratio Principle 

A good visualization follows the data-to-ink ratio principle—using the minimum amount of visual decoration necessary to convey meaning. 

  • Data Ink—Elements that directly represent the data (bars, points, and lines). 
  • Non-Data Ink—Backgrounds, borders, shading, or decorative elements that don’t convey data. 

Too much non-data ink, like unnecessary colors, gradients, or 3D effects, distracts from the story. Less decoration and more simplicity and clarity will always make your dashboard more effective. 

For example, the first two visuals below clutter the view with excessive non-data ink, making it harder to focus on the actual information. The third visual removes unnecessary decoration, keeping only the essential data ink elements. This demonstrates how simplicity and clarity enhance understanding, making the message more effective. 

Why Choose Visuals Wisely 

The right visual can transform a raw dataset into a clear, actionable insight.
The wrong one can hide patterns, confuse stakeholders, and even lead to poor decisions. 

Why it matters:

  • Clarity—A good visual makes insights obvious at first glance. 
  • Focus—The right visual highlights what matters most. 
  • Engagement—Well-chosen visuals keep audiences interested and informed. 
  • Accuracy—Some visuals distort data if used incorrectly (e.g., 3D pie charts). 

Example: In Power BI, a bar chart showing sales by product makes category comparisons instantly clear, while the same data in a pie chart would make it harder to compare close values. 

Answer these questions before choosing a visual:

Before choosing a chart for your descriptive representation, consider the following:

1. What is the key message or question I want to answer?

2. Who is the audience: technical users or business stakeholders?

3. Will the focus be on trends, comparisons, or proportions?

4. Would interactivity be required (filters, drilldowns)?

5. What is the requirement for detail at first glance?  

Such answers will enable you to eliminate visuals that are either too complex or too simple for your case. 

Best Visuals Per Data Type

  1. Comparing Categories

Best visuals: Bar chart, Column chart 

  • When to use: Comparing quantities across categories 
  • Horizontal vs. Vertical Significance:

Bar Chart (Horizontal)—Better for long category labels or when comparing many items side by side, as the text is easier to read horizontally. 

Column Chart (Vertical)—Works well when showing time-based categories or when there are fewer, short-named categories 

  • Example: Headcount by department in OTBI works perfectly with a bar chart easy to read and compare lengths. In Power BI, column charts are great for side-by-side metric comparisons. 

 i. Column Chart                                   ii. Bar Chart

  1. Tracking Trends Over Time

Best visuals: Line chart, Line & Clustered Column Chart 

  • When to use: Showing change or patterns over a timeline 
  • Example: In OAC, a line chart showing the number of requisitions approved on each day. A line & clustered column chart can highlight if the monthly performance is improving as per requisitions.

i. Line Chart                                                        ii. Line & Clustered Column Chart

  1. Showing Percentages or Part-to-Whole

Best visuals: Donut chart, Pie Chart, 100% stacked bar 

  • When to use: Displaying proportions without overwhelming detail 
  • Example: Power BI’s donut chart and Pie Chart can show gender distribution in a team, while a stacked bar compares percentage contribution of each region to total revenue. 

Note: Pie charts aren’t great if you want to differentiate between minor percentage differences, but can help quickly show big differences.

  1. Progress Against a Goal

Best visuals: Gauge chart 

  • When to use: Displaying performance vs. a target 
  • Example: In OAC, a gauge chart is ideal for tracking Revenue target completion against the target amount. 

i. Gauge Chart

  1. Understanding Relationships or Correlations

Best visuals: Scatter plot, Bubble chart

  • When to use: Showing how two or more variables relate
  • Example: A scatter plot in Power BI (Showing Number of Invoice Vs Amount as Per Source) can reveal patterns, clusters, and outliers in billing behaviour across different sources, helping identify high-volume/high-value sources or unusual transactions. Bubble Chart can add a third dimension — for example, bubble size could represent total customers, average invoice value, or profit margin for each source.

i.  Scatter Plot                                         ii. Bubble Chart

  1. Hierarchy Visualization

Best visuals: Treemap, Cardinality Graph

  • When to use: Displaying data with multiple levels of categorization, Showing counts or frequency of each distinct category in a field
  • Example: Power BI’s treemap can show Region → Branch → Team sizes, making it easy to drill down visually and Using Cardinality Graph to Visualize Gender distribution across teams

i.  Treemap

  1. Geographic Data

Best visuals: Geo map, Heatmap

  • When to use: Showing location-based metrics
  • Example: Geo Map can display sales by state, while Power BI’s heatmap layers colour intensity to show concentration.

i. Geo Map                                                ii. Heat Map

Why Appropriate Visuals Work

1. Towards Recognition of Patterns: Humans are much faster in pattern recognition in visuals than in tables.

2 . Time of Judgment: Clean visuals reduce the amount of time for any type of analysis.

3. Error Reduction: Misunderstanding complex numbers is avoided.

4  .Retention: The mind tends to remember visual stories better than mere data.

Conclusion: Your Quick Visual Selection Table

Data Goal Best Visuals Example Recommended Tool
Compare categories Bar, Column Headcount by department OTBI / Power BI
Trends over time Line, Area Monthly attrition rate OAC / Power BI
Percentages Donut, Pie, Stacked Bar Gender split in hiring Power BI / OTBI
Progress to goal Gauge, Bullet Training completion % OAC / Power BI
Relationships Scatter, Bubble Tenure vs performance Power BI
Hierarchy TreeMap Region → Branch → Team Power BI
Geographic data Geo Map, Heatmap Sales by state OTBI / Power BI

You’ll have to ask the right questions, understand the data type, and take advantage of the strengths of tools such as Oracle BI, OTBI, or even OAC or Power BI to create dashboards that don’t just look good but also drive decisions.

Transforming Healthcare Through Oracle EPM – The Orbrick Edge

Posted on by Lakshita Betala

Introduction

The healthcare industry is evolving rapidly with increasing regulatory demands, fluctuating patient volumes, and ongoing pressure to optimize costs while delivering high-quality care. To navigate this complexity, healthcare providers need more than just technology. They require smart planning, quick decisions, and clear results. For Finance Teams and Budget Controllers, this means having the ability to perform real-time variance analysis and KPI-based reporting to uncover cost-saving opportunities and drive strategic financial planning. These capabilities are essential not only to manage today’s budgets but also to chart a financially sustainable path for the future.

For Finance Teams and Budget Controllers, this means having the ability to perform Real-Time Variance Analysis in Healthcare Finance and KPI-Based Reporting for Healthcare Finance to uncover cost-saving opportunities and drive strategic financial planning. These capabilities are essential not only to manage today’s budgets but also to chart a financially sustainable path for the future.

That’s where  Oracle EPM in Healthcare becomes a game changer. But tools alone aren’t enough. At Orbrick, we believe in a “People + Process + Platform” approach and go beyond system implementation, we enable healthcare institutions to unlock the full value of Oracle Enterprise Performance Management Healthcare through strategic execution, data-driven insights, and a deep understanding of the healthcare domain.

What sets us apart is our industry-focused delivery approach. Our team brings not only EPM expertise, but also hands-on experience across the entire Oracle ecosystem; including ERP Financials, SCM, HCM, Technology, CRM, OAC, OCI, and OIC. This means that when cross-functional alignment is needed, we’re fully equipped to deliver seamless, best-practice solutions that span across platforms and functions.

At Orbrick, we’re not just implementation partners, we’re your trusted advisors in healthcare transformation, committed to helping finance and business teams achieve tangible, long-term outcomes.

In this blog, we will explore the best practices for implementing Oracle EPM in the healthcare, highlighting key benefits, and showcasing success stories.

Why Oracle EPM in Healthcare?

Healthcare providers have already modernized their ERP systems, leveraging advanced fusion instances for efficient day-to-day operations. This transformation has laid the foundation for the next crucial step: optimizing their financial transformation Healthcare Financial Planning with Oracle EPM. By integrating EPM alongside their current ERP framework, healthcare organizations can achieve unparalleled financial agility, enabling them to forecast more accurately, streamline budgeting processes, and align resources effectively in the ever-changing healthcare landscape.

Oracle Enterprise Performance Management Healthcare is more than a planning tool. it’s a strategic enabler across financial planning, workforce modelling, capital budgeting, profitability analysis, and reporting. Here’s how it addresses real-world healthcare challenges:

Key Healthcare Challenges & EPM-Driven Outcomes

We’ve mapped 6 real-world healthcare finance challenges with their EPM-enabled solutions and tangible outcomes. Here’s how Oracle EPM in Healthcare can move the needle for your organization:

1. Volatile Revenues

Challenge:
Fluctuating reimbursements, changing payer mixes, and unpredictable patient volumes
Solution:
Dynamic revenue and cost modelling by service line, department, and payer

Impact:

  • 15–25% faster budgeting cycles
  • 20–30% improvement in forecast accuracy
  • Enhanced cash flow management through real-time scenario planning

2. Workforce Planning & Cost Control

Challenge:
Balancing labour costs with optimal patient care
Solution:
Workforce Planning & Cost Control in Healthcare using integrated modeling of staffing needs vs. actual headcount and contracts.

Impact:

  • 10–15% savings in overtime
  • Improved staff-to-patient ratio planning
  • Automated insights on recruitment and attrition trends
  • Up to 30% gain in operational efficiency

3. Managing Capital Expenditures

Challenge:
Difficulty prioritizing and tracking return on large investments
Solution:
Cap-Ex prioritization aligned to ROI and patient outcomes

Impact:

  • 25% reduction in budget overruns
  • Automated ROI tracking and funding source visibility
  • Cross-functional collaboration on investments

4. Service Line Profitability

Challenge:
Lack of transparency into true cost-to-serve
Solution:
Dynamic Revenue and Cost Modelling through Oracle PCM for direct and indirect cost modeling by treatment and department.

Impact:

  • Clear margin visibility
  • 10–20% profitability improvement in underperforming departments
  • Smarter service rationalization decisions

5. Regulatory Reporting & Compliance

Challenge:
Meeting stringent reporting timelines and standards
Solution:
KPI-Based Reporting for Healthcare Finance with real-time reporting, audit trails, and automated consolidation.

Impact:

  • 60% reduction in board report preparation time
  • Improved compliance with HIPAA, CMS, IFRS, GAAP
  • Enhanced accuracy and data traceability

6. Faster Financial Close Cycles

Challenge:
Manual, long, error-prone consolidation processes
Solution:
Oracle FCCS for automation and traceable close processes

Impact:

  • 35–50% faster financial close
  • 15–25% reduction in reconciliation costs
  • Significant improvement in accuracy and compliance scores

These metrics aren’t just numbers, they’re a testament to the transformative potential of Oracle EPM in Healthcare. As the healthcare industry faces unprecedented challenges, such as tighter budgets and increased regulatory demands, leveraging the right performance management tools is more critical than ever.

Beyond Technology: The Orbrick Difference 

At Orbrick, we don’t stop at implementation. We’re focused on real business outcomes, delivering value through our unique approach: 

Traditional Approach  Orbrick Way 
Generic system rollout  Industry-specific implementation 
Tech-first thinking  Business-outcome-first approach 
Silos between modules  Cross-platform expertise across ERP, HCM, SCM, OAC 
Vendor-client dynamic  Long-term strategic partnership 

 

Ready to Elevate Your Healthcare Performance? 

Let’s explore how Orbrick can help your organization move beyond systems and toward sustainable transformation. 

Reach out to schedule a discovery session and learn how we can support your Healthcare Financial Planning with Oracle EPM goals. 

The Case Against Sterility

Posted on by Lakshita Betala

Designers of physical spaces often warn about the design mistakes that can make a space sterile. Avoiding Sterile Workspaces is about ensuring that design does not suppress life or creativity. Sterile spaces are engineered for order, optimised to eliminate chaos. Hospitals are sterile, homes are not, at least shouldn’t be. Homes should be cozy, inviting and inspiring.

To call a place sterile is to call it a place devoid of life, a place where inspiration goes to wither and radical thoughts don’t prosper.

Much of modern management has all the soul of a minimalist hospital waiting room. It’s clean, it’s orderly, and nobody wants to spend more time there than they absolutely must. Sterile Management in Organizations has become a growing concern, where order replaces originality. Management Science has been a discipline that helped managers focus on the tasks that lead to direct, measurable profitability, cleaning everything else out. It advocated for organisation of actions, resources, efforts and thoughts. Over time, this obsession with creating a sterile space, both physically and philosophically, has left many organizations without a pulse.

The higher the mental investment in making precision engineered structures and perfected decision models, the less is the available bandwidth for creative thinking and innovation. Rigid structures seldom allow for serendipitous moments at workplace. This balance between Intelligent Chaos vs. Rigid Structures defines how alive or sterile an organization feels. Embracing heuristics in Management, where possible, in place of rigid models might be a good idea. Heuristics are the smart, flexible rules of thumb that allow for brilliant decision making on the fly. They give your team the breathing room to be creative, responsive and innovative. The teams are more informal in the gaps between deterministic and the heuristic. These gaps are where deeper social connection are formed. It goes without saying that you should check for controlling biases and fallacies before employing heuristics. It takes practice, sure!

If you think that sounds a little unstructured, let’s take a surprising detour into criminology. Disorganization theory suggests that crime thrives where community ties are weak. It’s not chaos that’s the problem, but a lack of healthy, informal social connection. The same is true for our teams. A management style that is too rigid and sterile breaks down those vital connections, leaving a vacuum where creativity and engagement ought to be.

Criminologists talk about cultural transmission as the way negative norms get passed down in a neighbourhood. We can flip that idea on its head. In organizations, this is our secret sauce. It’s how the Creative Space in Organizations emerges and culture of innovation spreads. When you provide people space to think and solve problems together, you are building a positive feedback loop where great ideas and smart approaches are transmitted organically. This is the tiny transformation that matters: shifting from being overtly organized to being intelligently alive.

In your EPM, leave a little wiggle room in budgets. You might come at me with a pitchfork but hear me out – plan at higher levels and unless absolutely necessary, let some accounts have a higher tolerance for budget inefficiencies. This approach is what we might call Flexible EPM Budgeting. Let your teams do more with what’s left over. In your HR process you can let employees craft their own roles instead of fitting them into a predefined box. These are examples of Non-Sterile HR Processes that encourage autonomy and innovation.  This snowballs into

Letting Go of Sterility doesn’t mean abandoning structure; it means allowing creativity to breathe within it. Let go of the sterile. Tolerate a little chaos. Draw on the back of the napkins. And remember that Ugly Is Beautiful Management Philosophy.

Thrive, Don’t Just Survive: Upskilling for Success in the AI Era

Posted on by Lakshita Betala

The Reality Check: What We’re Actually Facing

Artificial Intelligence is increasingly gaining prominence as a major area for AI-driven productivity increases and cost reduction.
According to the World Economic Forum’s Future of Jobs Report 2025, 22% of today’s jobs are projected to face creation, disruption disruption, or destruction by 2030 due to structural transformations, also, 92 million positions are projected to be at risk of displacement . According to SEO.AI’s report, 30% of workers globally fear AI could replace their jobs within three years. According to many leading AI experts from organizations like OpenAI, Google DeepMind, Anthropic, SingularityNET, etc. AGI is predicted to arrive within the next 3 to 10 years.
Irrespective of when that happens, in my view, human capital is still going to be the real difference between the organizations, and not AI. AI literacy and human capital advantage will define the next phase of AI-era workforce transformation. AI is a major point of leverage, and leverage will amplify the talent differences. The key difference will be the employees who know how to make the most of AI and AI-based tools and technology to improve quality, reduce costs, and save time for their organization. The degree of difference between organizations will be drastic. An already strong workforce that optimally leverages AI will become drastically better compared to those who will not be able to do so.

The Smart Economics of Growing Your Own Talent

In this faster-than-ever-changing AI era, upskilling in the AI era and Smart economics of upskilling go hand in hand. Constant upskilling is the best way to create a workforce that can thrive and bring that drastic difference to your organization.
Organizations are constantly sourcing and interviewing candidates to improve their talent pool, which has its own cost in the form of time, effort, and money. According to the Society for Human Resource Management (SHRM) report from 2022, the average cost-per-hire was $4,700. I am sure this cost has increased over time. Identifying internal talent development opportunities can be more cost-effective and efficient than solely relying on external hiring. According to World Economic Forum’s Future of Jobs Report 2025, Internal hiring offers 18-22% cost savings over external recruitment while improving retention. 61% of internal hires remain beyond five years compared to 45% of external candidates. Again, I am sure this cost saving is still relevant and may have increased over time.
Many a times, internal talent goes unnoticed due to skill misalignment or due to a lack of awareness among leaders of available skills within the talent pool. Skill misalignment is widely acknowledged by leaders as a genuine problem needing resolution. According to Springboard’s report, 70% of leaders acknowledge the skill gap or misalignment within their organizations. It also states that nearly 40% of leaders report that the skills gap within their companies has worsened in the past year

A Two-Pronged Approach That Actually Works

I recommend the following approaches to bridge the skill gap and promote upskilling in both the short and long term. You can use these approaches irrespective of the HCM system you use, but if you are using Oracle Fusion HCM, then you are in luck. I will also share relevant actions you can take within Oracle Fusion HCM upskilling features to achieve these objectives.
Short-term activities use a Targeted learning strategies approach which aims at bridging the gap for the skills needing immediate attention. For making sure you are catching up as an organization with what is required for you to function efficiently.
Long-term activities use a Microlearning culture approach, which helps in creating long-term learning habits at the individual level and creates an organization-level learning culture by constantly giving small, periodic learning assignments.

Quick Wins: What You Can Do Right Now

Short-term learning activities:
• Conduct a skill gap analysis using the current job-skill mapping framework.
• In Oracle Fusion HCM, use the Best-fit analysis feature. Let line managers take charge of skill gap analysis; the HR team can assist them as needed.
• Conduct intensive learning programs for common skill gaps targeted at specific teams or departments.
• This can also become a periodic activity as well for constant upskilling, with topics changing based on business needs.
• Assign and track S.M.A.R.T. development goals, which include learning items related to the objective of the goal.
• In Oracle Fusion HCM, use the linkage provided between Goals Management and Learning modules. It comes in as a huge time and effort saver.
• Wherever necessary, include these development goals in performance evaluations or in Performance Improvement Plans.

Building a Learning Culture That Lasts

Long-term learning activities:
• Upgrade your job-skill mapping data and job descriptions to match the latest market trends and requirements.
• In Oracle Fusion HCM, utilize Dynamic Skills and GenAI features like AI Assist to generate profile description, job description, job responsibility, and job qualifications to achieve this.
• Use Oracle Dynamic Skills; it uses AI to recommend skills for people, jobs, learning content, etc. based on your organization’s data.
• Use Skill Advisor for Model Profiles and AI Assist to help you define better, clearer, and more accurate jobs.
• Educate the employees about available career paths within the organization and drive them toward learning relevant skills to move upward in the career path.
• In Oracle Fusion, make use of Oracle Grow to achieve this without breaking a sweat. Grow is tightly integrated with Oracle Learn and Profile management to generate AI-based learning suggestions and showcase career paths defined by the organization.
• Curate small, easy-to-consume learning items, courses, and articles. Include more online, self-paced learning content for employees to be able to learn at their own pace.
• Gamify, Socialize, Incentivize learning.
• The Oracle ME platform helps you achieve these goals. Oracle has created a set of integrated modules within the Oracle ME platform that you can utilize to create recognition and reward (points or cash) based programs at desired levels within the organization.
• Socialize learning by promoting sharing, recommending learning content within teams, creating learning communities, encourage SMEs to create & share tutorials, and enabling peer-to-peer recognition.
• Encourage mentorship;mentorship, initiate mentorship programs.
• Provide a platform to Subject Matter Experts (SMEs) within the organization to take up mentorship, helping enthusiastic learners to learn directly from SMEs by enabling Career Ambassador feature in Oracle Connections.
• Mentors will have a sense of fulfillment, more recognition, etc.
• Such initiatives will lead to a multi-dimensional positive impact on the organization, which includes increased job satisfaction, reduced attrition, and an enhanced talent pool.
• Encourage gig creation
• This encourages utilizing internal talent and the optimized use of employees’ bandwidth.
• This gives on-the-job, real-life work experience to the employees participating in the gig.
• Oracle Fusion Recruiting provides a standardized end-to-end solution to manage gigs through Opportunity Marketplace.
• Learn and upgrade business-specific usage of AI.
• AI already impacts day-to-day activities, both personal and professional. So, educate employees to make the most of AI as its impact will increase in the upcoming years.
• Utilize Oracle Learn’s standard integrations with LinkedIn Learning, Skillsoft and other learning content providers to get readily available AI courses and related learning content.
• Create AI champions within the organization to utilize their AI knowledge and create easily available contact for employee to reach out. Also create internal AI courses utilizing their knowledge to create internal knowledge bank.
• In Oracle Fusion HCM, utilize both Oracle Gen AI and Adaptive AI. These will help with faster decision-making and content creation.

The Bottom Line

With the advent of AI, how businesses and the workforce operate has already started to change. This change will become more erratic, more drastic, and more impactful over time. Organizations that constantly upskill their workforce will greatly increase their chances of succeeding. Aim to upskill constantly and upskill fast so you can thrive, not just survive because upskilling in the AI era is not optional anymore; it’s the foundation for sustainable AI-era workforce transformation.

Supply Chain Implementation in the Distribution Industry

Posted on by Lakshita Betala

Introduction

The distribution industry is the backbone of modern commerce, ensuring the seamless movement of goods from manufacturers to end-users. In today’s fast-paced economy, driven by e-commerce, globalization, and rising customer expectations, a robust, agile, and efficient supply chain implementation has become more crucial than ever. Building an effective distribution industry supply chain goes beyond transporting goods from one location to another. It requires aligning interconnected processes, adopting the right technologies, and addressing the unique distribution supply chain challenges inherent in the sector.

Leveraging Multiple ERPs in Distribution

The distribution industry often requires specialized ERP systems in distribution for different functions within the business, as these functions have distinct operational requirements. Rather than relying on a single ERP, companies can use multiple ERP systems in distribution to address the unique needs of each department—such as inventory management, order processing, and logistics. This approach maximizes operational efficiency by leveraging the strengths of each ERP system. However, the challenge lies in ensuring seamless integration between these systems to maintain data flow and achieve end-to-end visibility across the entire supply chain management (SCM) process.

Key Challenges in the Industry

  1. Inventory Visibility: Operations is a constant balancing act in the distribution industry. Overstocking ties up capital and increases holding costs, while stockouts result in lost sales and customer dissatisfaction. To overcome these challenges, real-time inventory tracking and data accuracy are critical. ERP systems in distribution play a vital role in ensuring inventory optimization by providing accurate, real-time data that enables better decision-making.
  2. Demand Forecasting: Accurate demand forecasting for distributors is essential to align supply with customer needs. Poor forecasting can lead to insufficient inventory, resulting in lost sales, or excessive inventory, which incurs higher holding costs and risks obsolescence. ERP systems equipped with forecasting tools can greatly enhance accuracy, helping businesses better align their inventory with market demand.
  3. Team Communication: Effective communication between teams—particularly sales and warehouse departments—is crucial for smooth operations. Without clear, shared visibility of inventory levels, delivery commitments can be inaccurate, leading to delays, shipment errors, and dissatisfied customers. Strong internal coordination can minimize these risks and improve order accuracy.
  4. ERP Synchronization: While multiple ERP systems in distribution help companies address specialized operational needs, failing to integrate them effectively poses serious risks. Fragmented systems can lead to data inconsistencies, process breakdowns, and lost efficiencies. Seamless integration should be a core focus, ensuring all systems work together to support operational excellence and strategic growth.
  5. Reporting Accuracy: Timely, actionable reporting is necessary for informed decision-making. Distribution businesses need robust reporting systems that can provide accurate insights into sales performance, inventory levels, and product profitability. These insights are vital for optimizing the product portfolio and improving profit margins.

Considerations for Successful Implementation

  1. Clear Understanding of Business Processes: When implementing multiple ERP systems in distribution, it’s crucial to have a holistic understanding of the business processes involved. A successful supply chain implementation requires designing solutions that support end-to-end process flows across all systems. ERP systems in distribution should be tailored to business needs, and consultants must assess whether reengineering business processes to align with industry best practices will bring value.
  2. Prioritizing Critical Requirements: While it’s ideal to meet all business requirements on the day of go-live, this is often unrealistic due to unforeseen complexities. Collaborating with stakeholders to prioritize critical processes based on transaction volume and financial impact is essential. Focus on the most critical functionalities and key reports, allowing businesses to operate smoothly while less critical features can be deferred to later phases.
  3. Training and Change Management: The introduction of new systems provides an opportunity to adopt best practices and overcome inefficiencies in existing processes. Change management is essential for ensuring successful adoption of the new system. Training programs should be tailored for personnel involved in various aspects of the distribution process, such as managing shipments, tracking deliveries, and updating order statuses, to ensure they can efficiently use the new supply chain management (SCM) system.
  4. System Integration and Error Management: All integration points, both upstream and downstream, should be thoroughly assessed to ensure smooth communication between systems. Proactively managing potential errors is essential for maintaining data integrity and operational efficiency. Configuring success and error notifications can help identify and resolve issues quickly, minimizing downtime and ensuring smooth operations.
  5. Data Migration: Accurate and timely data migration is critical for a smooth transition to new systems. Migrating outdated or inaccurate data can result in significant reconciliation challenges post-go-live. It’s essential to migrate real, up-to-date inventory data, as well as transactional data, including open transactions. This will ensure that the ERP system reflects actual business conditions and supports informed decision-making from day one.
  6. Measuring Success with KPIs:  The Go-Live phase is only the beginning of the journey. It’s essential to continuously monitor supply chain KPIs for distribution such as on-time delivery rates, inventory turnover, and transportation costs to assess the performance of the new system. Regularly reviewing performance dashboards and engaging with stakeholders ensures that areas for further optimization are identified and addressed.

Key KPIs in the Distribution Industry:

  • Order Fulfilment: Perfect Order Rate, On-Time Delivery
  • Inventory Metrics: Inventory Turnover, Carrying Costs, Margin Return on Investment
  • Logistics Metrics: Freight Costs, Transit Time
  • Customer Satisfaction: Return Rate, Fill Rate
  • Financial Metrics: Supply Chain Cost as % of Sales, Cash-to-Cash Cycle Time

Embracing Continuous Improvement:Emerging technologies are key to driving ongoing optimization in supply chain management (SCM). AI and Machine Learning improve demand forecasting for distributors and automate inventory management, while IoT facilitates real-time asset tracking and enables smart warehouses. Blockchain enhances transparency and security, and cloud computing allows faster data sharing and collaboration. Digital Twins simulate operations to provide better planning insights, ensuring continuous improvement and greater supply chain efficiency.

Conclusion

Implementing supply chain implementation processes using multiple ERP systems in distribution is complex but manageable with a strategic approach. It requires more than just adopting new technology—it demands careful planning, seamless integration, and alignment with business processes. Consultants play a crucial role in ensuring the supply chain implementation supports the company’s goals and scalability.

As the distribution industry supply chain continues to evolve, companies that invest in integrated and flexible supply chain solutions will be best positioned to thrive. A well-executed supply chain implementation enhances operational efficiency, strengthens customer relationships, drives profitability, and sets the stage for sustainable growth in an increasingly competitive marketplace.