Oracle Release 12

Oracle's latest version Release 12 was made generally available in January 2007. The release aims to provide greater levels of control and transparency by use of a centralised financial architecture, whilst supporting local regulatory and cultural country specific requirements.

The key messages are:
· Think Globally - using business intelligence and analysis tools
· Work Globally - using the global capabilities of the applications
· Manage Globally - using the latest system architecture and middleware

The focus is on global operations and shared service efficiencies, as well as application specific improvements. One of the most fundamental changes occurs with the new Global Financial Architecture, which introduces 6 Major Initiatives.
· Ledger and Ledger Sets
· Multi-Org Access Control
· Sub-ledger Accounting
· Tax Engine
· Inter-company
· Bank Model

Ledger and Ledger Sets
Ledgers essentially replace Sets of Books, and introduce a 4th C to Calendar, Currency and Chart of Accounts, Accounting Method. The use of ledger sets replaces the Alternative Accounting Representation introduced in 11.5.7, and provides a rule-based mechanism for each ledger, overcoming some of the limitations of the current functionality.
The use of ledger sets streamlines the set up process; a single set of rules could be defined for all IFRS ledgers and attached to each ledger in turn. The local GAAP ledgers having the appropriate country specific rules.


Multi-Org Access Control (MOCA)
Very much aimed at shared service operations, access to operating units (OU) is role based, with a single responsibility able to access multiple OU.


Sub-Ledger Accounting
Sub-ledger accounting supports ledgers by generating the accounting entries for each ledger from a set of event based rules. A single transaction could therefore generate distribution lines for IFRS ledgers and local GAAP ledgers.


Tax Engine
The tax engine generates indirect tax entries based upon pre-defined rules - the 4 P's Parties / Places / Products / Processes. Tax entries are now held in a Tax Transactions repository to streamline reporting.


Inter-company
The Global Inter-company System (GIS), becomes Advanced GIS. The most significant feature being is the generation of invoices between companies, overcoming a major shortfall in existing functionality.


Bank Model
The biggest change to the bank model is that bank accounts are now attached at Legal Entity level rather than Operating Unit in current versions. The capability to pay across operating units is also been introduced. Banks accounts can be shared by applications and can be designed for use by Payables, Receivables and Payroll.