Sell Services from Order Management

Currently, you can order only service contracts of type Extended Warranty through Order Management.  In release 12.2.2, you can order service contracts of type Subscription Contract too. You can order Tangible as well as Intangible subscription contracts.  Tangible subscription contracts are fulfilled through Order Management. You can record Subscription Contract specific attributes such as Start Date, Period, Duration, and Subscription Template on the order line. As currently supported for standard inventory items, you can attach Extended Warranties to a Subscription Contract as well. Additionally, you can include a Subscription Contract in a model/kit. After fulfillment of the line, a Subscription Agreement is created in Service Contracts.

Currently, when an Extended Warranty is invoiced through Order Management, the invoice amount is for the entire duration of the Extended Warranty. In this release, additional billing options have been introduced for Extended Warranties and Subscription Contracts. The options are as follows:
  • Retain the existing behavior of generating an invoice for the entire duration from Order Management.
  • Generate the invoice for the first installment from Order Management and for the subsequent installments from Service Contracts.
  • Generate invoices for all installments from Service Contracts. In this scenario, Order Management does not generate any invoices.
For the orders that are billed in multiple installments over the duration of the service contract (Extended Warranties/Subscription Contracts), you can specify the billing schedule.

For additional information on this new Feature, refer to the Sell Services From Order Management section of Doc ID 1377743.1 Oracle Order Management Release Notes for Release 12.2.2.


Comments:

FYI-
The link gives me an error in the post here, but the article number is correct for R12.2.2 release information. The link in the doc though in the knowledgebase though also errors when following it to the details of the enhancement.

Posted by Erik Helgestad on April 14, 2014 at 10:42 AM EDT #

Thanks for letting us know - I've fixed the incorrect link.
For the 'Sell Services from Order Management' link in the Doc itself, I am not able to reproduce the problem, the link in the doc takes me through to a lower section in the doc. I tried in both IE and Firefox.

Posted by LuciaC on April 14, 2014 at 11:42 PM EDT #

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