Ready to face interview for Oracle SCM? Do not worry, we are here to help you with job interview preparation. If you are preparing oracle scm interview and not sure which questions are likely asked in interview, we suggest you to go through Wisdomjobs interview questions and answers page to crack your job interview. oracle scm is the supply chain management which relates to the goods and products in shipment. The shipment, raw materials, inventory are tracked from starting to end. Using Cloud, the risk is reduced with less cost as everything is digitalized. Strong Management skills are needed as there is huge competition. Below is the list of frequently asked oracle scm job interview questions and answers which gets you ready to face the interviews:
Question 1. What Are Different Planning Methods In Inventory?
Answer :
There are 5 different planning methods in oracle Inventory:
Question 2. What Are The Setups For Different Planning Method (min-max?)
Answer :
Setup the item in master org and assign the item to the org for which Min-Max planning is used
Question 3. What Is The Concurrent Program For The Planning?
Answer :
Min Max planning report under planning menu in Inventory responsibility
Question 4. What Are The Setups For Expense Item?
Answer :
Question 5. How Many Key Flex Fields Are There In Inventory?
Answer :
Seven KFF are there in Inventory:
Question 6. What Is The Use Of Sales Order Kff?
Answer :
Answer :
Question 8. What All Setups You Have Done In Inventory Organization Implementation?
Answer :
Question 9. What Is The Difference Between Purchased And Purchasable Flag For An Item?
Answer :
Question 10. What Is The Valuation Accounts Used In Inventory?
Answer :
Other Accounts:
Question 11. What Is Abc Analysis And Why It Is Being Used?
Answer :
Question 12. What Are The Processes Of Cycle Count?
Answer :
Question 13. What Is The Different In Mo Issue And Mo Transfer?
Answer :
Question 14. What Is The Picking Rule In Inventory?
Answer :
Question 15. What Are The Criteria In Cycle Count?
Answer :
Question 16. What Are The Diff In Lot And Serial?
Answer :
Question 17. What Is Move Order In Om?
Answer :
Move orders generated as part of Pick Wave are the ones from Sales order.
Question 18. How A Mo Is Diff From Subinv Transfer?
Answer :
MO generally is the request of movement of items in one organization. It may be of from 3 sources, MO requisition, Replenish MO, Pick Wave MO. MO can be MO Issue which will issue the item from the location and MO transfer which ll transfer the item to another location.
Question 19. What Is Net Table In Sub Inventory Setup?
Answer :
This wills determine whether to consider the onhand of the sub inventory as available for planning tasks.
Question 20. What Are The Status Attributes In Item And How Many Of Them?
Answer :
We can define different status for an item combination these attributes as per the business need.
Following are the attributes:
Question 21. What Is The Use Of Status Attribute?
Answer :
We can define different status for an item combination these attributes as per the business need.
Question 22. Why Master Org Is Required?
Answer :
So that we can have an item maintained at master level with common attributes and then we can use the same item across multiple organizations instead of defining it again and again.
Question 23. Inventory Master Org Is Mandatory?
Answer :
Yes. If you will not create any specific master org, then system will consider the same inv org as its master org.
Question 24. What Are The Lot Control Setups?
Answer :
Lot control can be setup at item attributes at organization level.
Either No Control or Full Control.
Question 25. How Lot Number Generates?
Answer :
You can generate new Lot numbers during transactions.
Question 26. What Is Serial Controlled And What Are The Setups?
Answer :
Serial control can be setup at item attributes at organization level.
Question 27. How Serial Numbers Are Generated?
Answer :
Serial control can be setup at item attributes at organization level.
No Control, At Receipt, At Sales Order issue, Predefined.
Question 28. What Is The Predefined Locator In Sub Inventory And How It Works In Business?
Answer :
We can setup locator control in 4 diff ways for each sub inventory:
None: There will not be any locator information required during any transaction.
Prespecified: System will ask you to select locator combinations which already been defined in the sub inventory during the transaction.
Dynamic Entry: Either you can select any locator during transaction or you can create a new combination.
Item Level: This will take the locator which has been defined at item attribute level.
Question 29. What Are The Transaction Managers?
Answer :
Transaction manager is the interface managers which carry out all transaction once submitted by the users.
Question 30. Can We Change The Item Name After It Created?
Answer :
Yes we can change the name in master level.
Question 31. How Wms Is Helpful Compared To Inventory?
Answer :
Warehouse Management (WMS) enables companies to maximize their utilization of labor, space and equipment investments by coordinating and optimizing resource usage and material flows. Specifically designed to support the needs of distribution, manufacturing, asset-intensive, and service businesses, Oracle WMS provides a single-platform across your entire global supply chain.
Question 32. What Is The Use Of Wms Rules Workbench?
Answer :
The Rules workbench enables you to assign strategies, rules and cost group values directly to any number of objects in an assignment matrix.
Question 33. Why Strategy Used?
Answer :
After you define your rules, you must set up a strategy and then associate the applicable rules. After you assign rules to a strategy, the rules engine can execute the strategies on any objects to which the strategy applies. The rules engine executes each subsequent rule in your strategy until an allocation is completely filled.
Question 34. How Many Types Of Bar Codes Are There?
Answer :
Mainly 2 types Linear (1 dimensional) and Matrix (2D).
Answer :
Question 36. Explain Item Master Organization?
Answer :
An item master organization is a logical entity where you define the item. After you define an item in the item master, you can assign it to any number of other organizations.
Question 37. Define Inventory Organization?
Answer :
It is a facility which will enable you to store and transact the items. It can be a manufacturing unit, ware house, distribution center etc.
Question 38. What Is A Sub Inventory?
Answer :
Question 39. In Which Table Does The Sub Inventory Related Information For An Item Is Stored?
Answer :
MTL_SECONDARY_INVENTORIES
MTL_ITEM_SUB_INVENTORIES
Question 40. What Is A Stock Locator?
Answer :
Locators are structures within sub inventories. Locators are the third level in the enterprise structuring scheme of Oracle Inventory. Locators may represent rows, racks, or bins in warehouses. You can transact items into and out of locators. You can restrict the life of locators, establish capacity of a specific locator in weight or units, as well as specify dimensions which define a locator’s capacity by volume.
Question 41. What Are The Key Flex Fields In Oracle Inventory?
Answer :
Oracle Inventory provides the following flex fields:
Question 42. What Are The Basic Steps Involved In Defining An Item?
Answer :
Question 43. What Are Item Attributes?
Answer :
Item attributes are the collection of information about an item. These are used to store specific characteristics of an item, such as item status, unit of measure, revision control, etc. these can be controlled at either the master or the organization level. These attributes are stored in a table named MTL_ITEM_ATTRIBUTES.
Question 44. What Is The Use Of Item Template?
Answer :
An Item template is a set of attributes that enable the user to quickly create an Item. You can use the existing templates are you can create your custom template.
Question 45. What Is An Item Category And Category Set?
Answer :
A category is a logical classification of items that have similar characteristics.
A category set is a distinct grouping scheme and consists of multiple categories. An item can belong to any number of category sets. We can assign item to one category within each category set. The categories can be retrieved from the table ‘MTL_CATEGORIES_B‘ and item category set from ‘MTL_CATEGORY_SETS_B’.
Question 46. Explain Unit Of Measure (uom) And Uom Class?
Answer :
The unit of measure (UOM) helps us count the number of items involved in a transaction or the number of items that are stored in a sub inventory or a locator.
UOM classes let you group different UMO’s into one category. Eg, quantity could be UOM classes under which each, dozen, lot etc are separate UOM’s.
Question 47. Explain Shipping Method?
Answer :
Shipping methods are the way you ship material. When you create a shipping method, you must enable it before you can use it in a shipping network. If you disable a shipping method, it cannot be used in a shipping network.
Question 48. Describe Inter Organization Shipping Networks?
Answer :
An inter-organization shipping network describes the relationships and accounting information between a shipping organization and a destination organization. You must define a shipping network between two organizations before you can transfer material between organizations. When you set up a shipping network you must select a transfer type: Intransit or Direct.
In transit: Oracle Inventory moves material to an intermediary state before it reaches the destination organization. After the material arrives at the destination organization, you will need a receipt transaction to retrieve it. If in transit is selected, you can define.
Shipping Methods, GL Accounts to use in transit, Material ownership during transfer, Planning lead times and Transfer Charges.
Direct: Oracle Inventory moves the material directly to the destination organization. However, for both transfer types, you can determine default receipt routing and whether internal orders are required to transfer material.
Question 49. In Which Tables Are The Transactional Details Are Stored?
Answer :
MTL_MATERIAL_TRANSACTIONS
MTL_TRANSACTIONS_INTERFACE
MTL_MATERIAL_TRANSACTIONS_TEMP
MTL_TRANSACTION_ACCOUNTS
Question 50. What Is Revision Control In Oracle Inventory?
Answer :
A revision is a particular version of an item, bill of material, or routing. Revision control is normally enabled for identifying a modified item. Item can be placed under revision control by checking the box `Revision control` in Inventory tab while defining new item or for existing item. Base table for Item Revision is MTL_ITEM_REVISIONS.
Question 51. What Is Picking Order Of Sub Inventory Or Locator? Where Will You Define The Order?
Answer :
The value indicates the priority with which we pick items from sub inventory or Locator, relative to another sub inventory or locator, where a given item resides. A picking order of 1 means that order entry functions pick items from the sub inventory or locator before others with a higher number (such as 2,3 and so on).
The sub inventory order is defined in the sub inventory definition and the locator order is defined in the locator definition. The default order for both the sub inventory and the locator are defined in the organization.
Question 52. What Are The Different Inventory Transactions?
Answer :
A transaction is an item movement within, into or out of inventory. A transaction changes the quantity and location of an item.
The following are the different inventory transactions:
Question 53. Describe Various Inventory Transaction Types?
Answer :
Miscellaneous transaction: This transaction is used to do adjustments in stock due to damage, obsolescence, issuing items for R & D or issuing track able expense items.
Sub inventory transfer: This transaction is used to transfer goods from one sub inventory to another within the same inventory organization.
InterORG transfer: This transaction is used to transfer goods from one inventory organization to another.
Receiving transaction: This transaction is used to move goods from receiving dock to specified sub inventory and locator.
Sales issue: This transaction is used to move goods from pick sub inventory to staged sub inventory.
WIP issue: This transaction is used to issue materials against production orders.
Question 54. What Is The Difference Between A Sub Inventory Transfer And A Move Order?
Answer :
Both these transactions are used for the movement of items from one sub inventory to the other. The difference is that move order generates a pick slip and a sub inventory transfer doesn’t.
Move order requires ‘approval’. Also, move orders create allocations. So you can place hold on the material with the intention of picking it up a little later. In sub inventory transfer, there is no reservation / allocation.
Question 55. What Are The Components Used In Customizing A Transaction?
Answer :
The following are the three components used in a transaction
A Transaction Source Type and a Transaction Action come together to form a Transaction Type.
Question 56. What Is A Transaction Source Type?
Answer :
A Transaction Source Type is defined as an entity against which Oracle Inventory charges a transaction.
The following transaction source types come seeded with Oracle Inventory:
Question 57. What Is A Transaction Type?
Answer :
A transaction type is a combination of a transaction source type and a transaction action. It is used to classify a particular transaction for reporting and querying purposes.
Ex: Sales order issue (txn type) + issue from stores (txn action) = sales order (txn source type).
Move order transfer (txn type) + sub inventory transfer (txn action) = move order (txn source type).
Question 58. Name Any Four Purposes Where Miscellaneous Transaction Can Be Used?
Answer :
Cycle count adjustment, Physical inventory adjustment, adjusting inventory quantity within an inventory organization and decrementing on-hand balances from a subinvemtory.
Question 59. Explain Inventory Control?
Answer :
Inventory Control is the process by which inventory is measured and regulated according to predetermined norms such as economic lot size for order or production, safety stock, minimum level, maximum level, order level etc.
Question 60. What Are The Objectives Of Inventory Control?
Answer :
Question 61. What Are The Factors That Affect Inventory Control?
Answer :
Question 62. Define Abc Analysis?
Answer :
ABC analysis determines the relative value of a group of inventory items based on a user specified valuation criterion.
This technique divides inventory into three categories A, B & C based on their annual consumption value.
It is also known as Selective Inventory Control Method (SIM).
Question 63. What Is Consignment Inventory?
Answer :
Consignment Inventory is inventory that is in the possession of the customer, but is still owned by the supplier. In other words, the supplier places some of his inventory in his customer’s possession (in their store or warehouse) and allows them to sell or consume directly from his stock. The customer purchases the inventory only after he has resold or consumed it. The key benefit to the customer should be obvious; he does not have to tie up his capital in inventory. This does not mean that there are no inventory carrying costs for the customer; he does still incur costs related to storing and managing the inventory.
Question 64. What Are The Different Planning Methods Available In Oracle?
Answer :
Question 65. When Should The Material Be Ordered?
Answer :
When on-hand quantity + supply – demand is less than safety stock (safety stock is nothing but minimum inventory level)
[On-hand quantity] + [supply] – [demand] < [min inventory level]
Question 66. Explain Re-order Point Planning?
Answer :
Reorder point planning uses demand forecasts to decide when to order a new quantity to replenish inventory. Reorder point planning suggests a new order for an item when the available quantity (on-hand quantity plus planned receipts) drops below the item’s safety stock level plus forecast demand for the item during its replenishment lead-time. The suggested order quantity is an economic order quantity that minimizes the total cost of ordering and carrying inventory. Oracle Inventory can automatically generate requisitions to inform your purchasing department that a replenishment order is required to supply your organization.
If the forecast is correct and the order arrives on time, the inventory level should be right at the safety stock level at the time of receipt. In cases where the desired safety stock level changes during the order lead time, Oracle Inventory uses the largest safety stock quantity during the lead-time.
When an order is triggered, the EOQ is the size of the triggered order.
EOQ = square root of: [(2 X annual demand X order cost) / (carrying cost percent X Unit cost)]
Oracle Inventory calculates annual demand as the current demand rate annualized by multiplying the current period demand forecast by the number of periods per year (12 or 13).
Reorder point planning can be performed at the organization level only.
Question 67. Explain Min-max Planning Technique?
Answer :
Min-Max planning is a tool for planning inventory that looks at user-defined minimum and maximum inventory levels. It does not consider lead times.
We can perform this technique at org level or sub inventory level.
Question 68. Define Cycle Counting And Explain Its Use In Oracle Inventory?
Answer :
Cycle Counting is a process of periodic counting of individual item / all the items throughout the course of the year to ensure the accuracy of inventory quantities and values.
We can do the cycle counting at Organization / Sub Inventory Level.
Cycle count is used to:
To reconcile system on-hand balances with actual counts in inventory.
Maintain control over the items that have higher value.
Question 69. When Do You Perform Physical Inventory And Explain The Steps Involved In It?
Answer :
Physical inventory can be performed, whenever there is a need to verify the accuracy of system on-hand quantities. This can be done for entire organization or can be confined to a specific sub inventory.
Steps to perform physical inventory:
Answer :
Question 71. From Where I Can See The List Of Time Zones In Oracle.
Answer :
The list of time zones and their other details can be found from below 2 tables.
fnd_timezones_b, fnd_timezones_tl.
Answer :
Yes Asset Sub inventory flag can be unchecked for that sub inventory provided.
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