What is Oracle Inventory?
What is the need for Inventory Module in Oracle?
Oracle Inventory meets the following business needs of an organization:
Building the enterprise structure
Creating item numbers
Monitoring inventory on an ongoing basis
Maintaining accurate on-hand balances
Planning material replenishments
Forecating demand
A simple Inventory Organization structure is below for reference:
SUMMARY:
Adding inventory responibility to the Buisness Group
Enabling Profile Options
Defining Locations, working calenders
Creating Master Org, Inventory Org
Creating Sub Inventories
Creating Locators for the subinventories
Below basket of funtions has to be enabled to fullfill Inventory module setups in short.
Before going head make sure you have completed the multiorg structure properly with Buisness Group, General Ledger, Operating Unit.
For the below setup,
STEP 1: Adding inventory responibility to the Buisness Group
Invoking : System Administrator→Security→Responsibility→Define
Invoking : System Administrator→Security→User→Define
STEP 2: Enabling Profile Options
Invoking: System Administrator→Profile→System
In Profile field enter these features:
%GL%Led%NA%
%HR%User%, %HR%Sec%, %HR%Bus%
%MO%Oper%Unit%, %MO%Defaul %, %MO%Sec%
So that the final output will appear as below.
STEP 3: Defining Locations, Workday Calender
Invoking: Inventory→Setup→Organization→Location
First Location Name: IPHONE 5 Loc1
Second Location Name : IPHONE5 LOC2
Invoking: Inventory→Setup→Organization→Calender
We have created Workday Calender with name IPN WC, Complete the workday pattern, shifts, dates accordingly as per Buisness Standards.
On the same page of Workday Calender,
Select Tool→Biuld→Calender(To update the calender we created)
STEP 4: Creating Master Org, Inventory Org
Invoking: Inventory→Setup→Organization→Organization
Click on Accounting information from above.
Fill Primary Ledger : IPHONE LED1137(USD) (Created Before)
Legal Entity : IPL(Created Before)
Operating Unit : no need for Master Org
Inventory information is very important and we have to fill carefully all the mandatory fields as below.
Organization code 5MO (Our Choice) is just an unique code given by us.
Calender: we are pasting the workday calender (IPN WC) which we created before.
Item Master Organization acts as a server or Admin or Master for all inventories under specific Operating unit.
Here We have updated IPHONE MASTER ORG as Item Master Org as below.
Now Create a new Inventory as below.
Invoking: Inventory→Setup→Organization→Organization
Now click on Inventory-Reciveing information, will take you to the web page as below.
Save the above dialog box
If you like to create another inventory you can follow the above steps or else you can even copy the inventory organainzation to create a new as below.
Invoking: Inventory→Setup→Organizations→Organization Copy→Maintain Interface 
Now select Inventory→Setup→Organizations→Organization Copy→Launch Organization Copy
Provide the Model Organization (Source) & Group Code (Just created) so that all the details of Model Organization is copied to the new one.
Click on submit to run the concurrent program, which will create new inventory.
Hence we have completed creating
Master Org
IPHONE Inventory 1
SECOND IPHONE Inventory
STEP: 5 Creating Sub Inventories & Locators
It will list all the inventories created, let’s select IPHONE Inventory, so that we can create sub inventory, stock locators in this inventory.
Invoking: Setup→Organization→Sub inventories.
Select new, create a Sub inventory of our choice.
Here we are creating sub inventory as IMAC
Make sure in Main tab, Quantity tracked & Asset Sub Inventory checked as below.
Below is the flowchart of the setup we created for better understanding.
Now after completing all the above, switch the responsibility to system administrator.
Click on View→Request→Submit a New Request-Single Request→OK
Run :Replicate seed data as below.
Check the status View→Request
Which completes all essential setups for the Inventory Organization.
Incase you have not created any Operating Unit or General Ledger, as an optional step, you can query the organization ‘Vision Operations’ and check that it is classified as both a Legal Entity and Operating Unit as well as an Inventory Organization. If you check the Inventory Organization Parameters for ‘Vision Operations’ you will notice that the organization code is defined as ‘V1′. The master org is itself.
Conclusion:
You must plan how Oracle Inventory represents your company's inventory sites and business units. This includes defining organizations, locations, subinventories, and locators.
This completes Inventory Org Basic Setup In Oracle EBS R12.