Thursday Jul 31, 2014

Oracle Service Contracts – How to Drive Contract Coverage by Severity

When it comes to service level agreements for service tasks, a common business need is to cover High priority tasks round the clock, but without providing similar coverage to a Low or Medium priority task.  Oracle Service Contracts now provides the ability to define contract Coverage Time, Reaction Time and Resolution Time based on the severity of the task, assisting organizations in providing an appropriate service response according to task severity.   This results in cost savings by avoiding manual interventions that are otherwise needed for modifying the planned end dates and rescheduling tasks as per the severity.

Prior to Release 12.1.3+, users defined Reaction and Resolution Times based on the specific number of hours it took to respond to a task.  With Release 12.1.3+ (via Patch 17891741:R12.OKS.B), Reaction and Resolution Times can be defined as a variable number of hours depending on when a task gets created, thereby ensuring compliance with the promised service level agreements.



For more details, take a look at Oracle Service Contracts – How to Drive Contract Coverage by Task Severity (Doc ID 1911887.1) which explains the new functionality and how to implement it.

Monday Apr 14, 2014

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.


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