Use resources to define the time an assembly spends at an operation and the cost you incur at the operation. A resource is anything you require to perform, schedule, or cost, including but not limited to: employees, machines, and outside processing services. A resource and usage rate for all scheduled activities is required in a routing. Scheduled resources can include queue, setup, run, and move time.

When you define your departments, you assign the resources available in each department and the shifts that each resource is available. For each operation you define, you specify a department and list of resources and usages. An operation can use any resource that is available in the department, but you do not need to use all resources assigned to the department.

If you have Oracle Manufacturing installed, you can use Resource batching. Resource batching enables you to use resources across multiple jobs. By using a single resource to process multiple jobs simultaneously, you can prevent a resource from being underutilized. Work scheduled using resource batching is characterized by equivalent work performed with the same manufacturing processes. See: Setting Up Batch Resources, Oracle Advanced Supply Chain Planning Implementation and User's Guide.

Prerequisites

• Before you can define resources, set up your units of measure and unit of measure conversion rates. Some resources may represent currency such as a fixed charge resource, but currency resources cannot be scheduled since their unit of measure is not time-based.

• Set the site level profile option BOM: Hour UOM to hold the unit of measure that represents an hour. Oracle Work in Process prevents you from scheduling resources whose unit of measure is not in the same unit of measure class as the hour unit or measure and has no conversions defined to the hour unit or measure.

   To define a resource:

1. Navigate to the Resources window.

2. Enter a resource name unique to the organization to describe the resource. For example, you could assign AS1 to signify assembler grade 1, or WE for welder.

3. Optionally, enter an inactive date after which you can no longer assign this resource.

4. Select a resource type: Amount, Currency (the set of books currency as defined in Oracle General Ledger), Machine, Miscellaneous, or Person.

5. Enter a unit of measure (UOM) that describes how you measure the resource. (You can update this if the BOM: Update Resource UOM profile option is set to Yes.)

   Note: This field is protected from changes if this resource is used for any operation with the Scheduled field set to Yes, and if you have previously set it as a time-based UOM. See: To assign a resource to a routing operation.

6. Select a charge type. When an operation is completed, Oracle Work in Process records the units applied to the job or repetitive schedule in the resource unit of measure for all resources you charge manually or automatically. See: Charge Types.

7. Select a basis type by which to charge and schedule the resource.

   Item: Charge and schedule the resource where the resource usage quantity is the amount required per assembly unit you make.

   Lot: Charge and schedule the resource where the resource usage quantity is the amount required per job or schedule.

8. Select an expenditure type for this resource.

   If the Project Cost Collection Enabled parameter is set in the Organization Parameters window, you must associate the resource with an expenditure type. See: Organization Parameters Window and Assigning Project Parameters.

   You can only select expenditure types that belong to the Work in Process expenditure type class. Expenditure types are defined in Oracle Projects. See: Expenditure Types, Defining Expenditure Types, and Expenditure Type Classes in the Oracle Projects Implementation Guide.

9. Optionally, enter the supply subinventory if the resource is a machine.

   The system uses the supply subinventory specified for the resource if the routing does not specify a supply subinventory.

10. Optionally, enter the supply locator if the resource is a machine.

    The system uses the supply locator specified for the resource if the routing does not specify a supply locator.

11. Indicate whether to enable the outside processing resource, and if so, enter its item number.

    Attention: If you specify PO Move or PO Receipt, Oracle Purchasing uses this item when it creates requisitions for your outside processing resource. See: Overview of Shop Floor Control and Outside Processing.

12. If this resource services requests for maintaining assets, you can optionally enter the billable item in the Billing region Item field.

    Oracle Enterprise Asset Management (eAM) can use Oracle Bills of Material resources to service requests for asset maintenance. Identifying the billable item for the resource enables eAM to determine the cost of work performed by the resource for the item. See: Viewing Cost Information.

13. Enable the Costed check box to collect and assign costs to this resource, and if so, optionally enter an activity for the resource.

    You cannot view costing information if the Privilege To View Cost Information function is excluded from the responsibility. You cannot update costing information if, in addition, the Privilege To Maintain Cost Information function is excluded.

    You can use activities to group resource charges for cost reporting purposes. See: Defining Activities and Activity Costs in Oracle Cost Management User's Guide.

14. If the resource is costed, indicate whether to charge jobs and repetitive schedules based on a standard rate you define.

    Or, disable Standard Rate to enter a rate to charge the resource in Work in Process for an internal resource, or derive the rate from the purchase order for an outside processing resource. For outside processing resources, if you charge a job or repetitive schedule at the standard rate, a purchase price variance is computed and posted to the rate variance account. If you charge for all other resources, if you charge a job or repetitive schedule at the actual rate, a resource rate variance is computed and posted to the rate variance account.

15. If this resource is costed, enter an absorption account (general ledger account) used to offset resource charges earned in work in process.

    At period end, you normally compare this account to the resource charges in the general ledger.

    For outside processing resources, the default is the receiving valuation account from Oracle Purchasing, as defined in the receiving options.

    Attention: For outside processing resources, do not change the default receiving valuation account. When you receive an outside processing purchase order, Oracle Purchasing credits the inventory AP accrual account and debits the receiving valuation account. Bills of Material then debits the work in process outside processing account and credits the receiving valuation account. If you change the above default account, your receiving valuation account will have an incorrect balance.

16. If this is a person type resource, enter the skill necessary for a particular person to act as this resource. Define the skill needed by selecting from the following fields' lists of values:

    • Competence

    • Skill Level

    • Qualification

    See: Creating a Competency Profile for more information on competence, skill level, and qualification.

    See: To group employees by resource to select employees that meet the skill requirements.

17. If this resource is costed, enter a variance account (general ledger account) to accumulate resource rate variances for a job or repetitive schedule. For outside processing resources, this is the purchase price variance account.

18. If you have Oracle Manufacturing installed, you can use Resource batching. To enable resource batching, select the Batchable check box in the Batchable region. This enables the other batch fields. See: Setting Up Batch Resources, Oracle Advanced Supply Chain Planning Implementation and User's Guide.

    Additional Information: The Batchable region is disabled when the Basis field is set to Item.

19. Enter the maximum number units to be batched in the Maximum Batch Capacity field.

20. Enter the minimum number of units to be batched in the Minimum Batch Capacity field

21. Select the unit of measure for the batch capacity from the list of values available in the Batch Capacity UOM field.

22. Enter the time value for the batching process in the Batching Window field.

23. Select the time unit of measure available in the UOM field.

    Additional Information: The UOM list of values only appears if you enter Time in the BOM: Time Unit of Measure Class profile option User Value field. See: Bills of Material Profile Options.

   To define cost type and resource rate associations:

1. Navigate to the Resource Costs window. Do this by choosing the Rates button from the Resources window.

   Note: You cannot view costing information if the Privilege To View Cost Information function is excluded. You cannot update costing information if, in addition, the Privilege To Maintain Cost Information function is excluded.

2. Enter or select a cost type to associate with each resource overhead rate.

3. Enter the Resource Unit Cost, that is, the resource's current standard cost per UOM.

   To associate overheads with resources:

1. Navigate to the Resource Overhead Associations window. Do this by choosing the Overheads button from the Resources window.

   Note: You cannot view costing information if the Privilege To View Cost Information function is excluded from the responsibility. You cannot update costing information if, in addition, the Privilege To Maintain Cost Information function is excluded.

2. Enter or select the cost type for the resource.

   The Allow Updates check box indicates whether the cost type is defined as updatable.

3. Enter or select the overhead to associate with the resource.

   For example, you could assign resource cost as dollars per hour. If you enter a new resource, you can directly enter a frozen unit cost. However, you cannot directly update the frozen unit cost for a previously entered resource.

   To group similar types of equipment by resource:

You can define Equipment Types to group similar types of resources. For example, you can define an Equipment Type of Forklift.

1. Navigate to the Equipment Types window. Do this by choosing the Equipment button from the Resources window. You can choose the Equipment button if the Resource is a Machine type.

2. Enter an Item Number in the Equipment field.

3. Save your work.

   Note: If you have Warehouse Management installed, you can use the Resources form to define a class of manual or machine resources. For example, a forklift machine resource is indicated by entering the resource name and description, as well as which equipment items are capable of performing pallet picking. See: Set Up Equipment Resources, Oracle Warehouse Management Implementation Guide.

   To group employees by resource:

You can define the roles which represent what an employee can do for a required task. For example, a role could be defined as Cycle Counter, or a Case Picker. See: Entering a New Person (People Window).

1. Navigate to the Employees window. Do this by choosing the Employees button from the Resources window. You can choose the Employees button if the Resource is a Person type.

2. As you can assign a contingent worker as well as an employee to a resource, select the number of the employee or contingent worker from the list of values in the Number column to associate with the resource.

   If you have defined skills in the Resources window, then only those employees that have the competence, skill level, and qualification required for the resource appear in the list of values.

   The Type column enables you to know whether a person type resource is an Employee or a Contingent Worker.

   When you launch the Employees window for the first time, you will see a list of employees who have already been assigned to this resource code, and the Type column displays them as Employee. But if there are no employees assigned to this resource code, you will not see any records in the Instances window.

   You can assign additional employees to this resource code by selecting from the list of values in the Employee field, in that case the Type field defaults as Employee. On the other hand, if you assign a contingent worker to this resource code from the list of values in the Employee field, then the type field defaults as Contingent Worker. Therefore, based on the Type of instance that you choose from the list of values in the Employees window, the Type field gets automatically populated and you cannot update the value in the Type field.

3. Save your work.

   Note: If you have Warehouse Management installed, you can use the Resources form to define employees qualified for each resource. For example, a hazardous materials manual resource is indicated by entering the resource name and description, as well as which employees are capable of performing hazardous material tasks. See: Set Up Warehouse Employee Resources, Oracle Warehouse Management Implementation Guide.

   To define a reason for a resource capacity change:

You can assign a reason for a resource capacity change in the Capacity Changes window (see: To define capacity changes) by selecting the reason from a list of values. Define the reasons for this list of values in the Resource Capacity Change Reasons window.

The resource capacity change reasons list of values are defined as lookups. Lookup codes must be decided upon and defined during the implementation process. For more information about lookups, see: Application Utilities Lookups and Application Object Library Lookups.

1. Navigate to the Resource Capacity Change Reasons window.

2. Enter a numeric Code for the resource capacity change reason. Oracle recommends that you enter values in increments of 10, enabling you to easily add codes later.

3. Enter the Meaning of the code, for example, Breakdown.

4. Enter a Description for the code.

5. Optionally enter a Tag to categorize lookup values. This field is for information purposes.

6. The Effective From Date defaults as the system date, but you can update this. Optionally enter a Effective To Date to indicate an expiration of the code.

7. Select the Enabled check box to enable this code for Bills of Material.

8. Save your work.