Setup Steps Required for an Organization Change

Some or all of the following implementation steps must be performed when you have an organization change.

Note: Several of the following steps are included in the Implementation Checklist. For more information about them, see the Oracle Projects Implementation Guide.

1. Define Organizations

• Define a new organization called Europe.
  • Enable the HR Organization classification to enable Europe to have employees
  • Enable the Expenditure/Event Organization classification so that Europe can incur project expenditures and have its own budgets and billing schedules.
  • Enable the Project/Task Owning Organization classification so that Europe can own projects.
  • Do not enable the Project invoice Collection Organization classification. Invoices for Europe are processed using transaction types associated with Fremont Construction.
• Define a new organization called U.S. No organization classifications are required for the U.S. organization.

2. Define the New Organization Hierarchy

Fremont Corporation must update the organization hierarchy version, according to the new hierarchy.

Organization Hierarchy Oracle Projects

Version Number 1

Because Fremont Corporation has chosen to standardize the organization hierarchy version for all of its project processing, it only needs to make adjustment to the organization hierarchy named Oracle Projects, and the organization hierarchy version number 1. If Fremont Corporation had originally set up different organization hierarchy versions to meet different business policies, procedures, and processes for its business, each organization hierarchy version would have required updating.

3. Assign a Project Burdening Hierarchy to the Business Group

Fremont Corporation will skip this step, because Fremont Corporation uses the same organization hierarchy version for project burdening that it uses for other business processes.

4. Define Employees

Transfer and add employees to the Europe organization.

5. Define Implementation Options

• If the organization change includes creating a new operating unit, implementation options required for a new operating unit must be set. See Adding Operating Units.
• If the Project/Task Owning Organization Hierarchy Branch of an operating unit will change as a result of the organization change, you must change the organization hierarchy /version and/or start organization assigned to the operating unit.
• If the Expenditure/Event Organization Hierarchy Branch will change, you must change the Expenditure/Event Organization Hierarchy Branch assigned to the operating unit.
• If the Default Reporting Organization Hierarchy Version will change, you must change the Reporting Organization Hierarchy Branch assigned to the operating unit.

Fremont Corporation can skip this step, since none of the above conditions are true for this organization change.

6. Define Cost Rates for Expenditure Types

Update existing expenditure types and add new expenditure types based on the organization change.

Fremont Corporation does not need to add new expenditure types for their organization change. They have already set up standardized expenditure types for the corporation.

7. Define Non-Labor Resources

Define non-labor resources for the new organization(s).

Fremont Corporation must update the non-labor resources PC and Minivan to add Europe as an additional owning organization, as shown in the following table:

Non-Labor Resource	Description	Expenditure Type	Organization
PC	PC on the HQ network	Computer Services	Europe
Minivan	Site visit minivan	Vehicle	Europe

8. Define Expenditure Type Cost Rates

Update rates for expenditure types and/or set up new expenditure type cost rates.

Fremont Corporation sets up higher expenditure cost rates for the expenditure type Computer Services, as shown in the following table, to cover the overall increased cost of supporting the Europe organization.

Expenditure Type	Unit of Measure	New Rate
Computer Services	Hours	10.00

9. Define Usage Cost Rate Overrides

Set up new usage cost rate overrides for the Europe organization.

Fremont Corporation sets up higher cost rates for minivans owned by the Europe organization, as shown in the following table.

Non-Labor Resource	Expenditure type	Organization	Usage Cost Rate Override
Minivan	Vehicle	Europe	60.00

10. Define Employee Rates

Define employee rates where required for changed rates and for new employees hired for the Europe organization.

11. Define Burden Schedules

Update and/or add new burden schedules based on the organization change.

Fremont Corporation does not need to define new burden schedules.

12. Define Bill Rate Schedules

Fremont Corporation must define a new bill rate schedule for the Europe organization, because Europe will have higher billing rates.

13. Define Resource Lists

Update resource lists that are affected by the organization changes. Add new organizations to the resource lists that group or maintain resource details by the organizations resource type.

14. Define Project Types

Set up new project types you will need, using the new defaults such as bill rate schedules and burden schedules.

15. Define Project Templates

Set up new project templates you will need, using new defaults such as project and task organizations.

16. Set Up AutoAccounting

Make changes to the AutoAccounting setup based on the organization change. Fremont Corporation must make the following updates to the lookup sets listed in the table below to take into account the new organization.

Lookup Set Name	Lookup Set Description	Segment Value: Organization	Segment Value: Company Code
Organization to Company	Map organization to the appropriate company code	Europe	03
Organization to Cost Center	Map organization to the appropriate cost center code	Europe	306