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Oracle® Procurement Contracts Implementation and Administration Guide PDF
Oracle® Procurement Contracts Implementation and Administration Guide PDF
December 2006
Oracle Procurement Contracts Implementation and Administration Guide, Release 12
Contributing Author: Shibhu Nambiar, Ashok Srinivasaraghavan, Yoav Eilat, Assad Akhavan
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Contents
Preface
3 Implementation Overview
Process Description................................................................................................................... 3-1
Implementation Task Sequence............................................................................................... 3-1
iii
Setting Up Layout Templates..................................................................................................4-13
Setting Up Purchasing Document Format.............................................................................. 4-16
Using Descriptive Flexfields................................................................................................... 4-16
Setting Up AutoNumbering.................................................................................................... 4-17
Setting Up Value Sets.............................................................................................................. 4-18
Oracle Procurement Contracts Function Security.................................................................. 4-19
Importing Clauses from External Sources.............................................................................. 4-21
Setting Up Contract Folders.................................................................................................... 4-21
Setting Up Variables............................................................................................................... 4-21
Setting Up Numbering Schemes.............................................................................................4-21
Setting Up Sections................................................................................................................. 4-23
Setting Up Standard Clauses.................................................................................................. 4-23
Setting Up Contract Templates............................................................................................... 4-23
Setting Up Contract Expert...................................................................................................... 4-24
Setting Up Contract Repository.............................................................................................. 4-24
Setting Up Contracts Workbench........................................................................................... 4-27
iv
Managing Contract Templates................................................................................................ 6-29
Creating Contract Templates.................................................................................................. 6-30
Adding Sections and Clauses..................................................................................................6-35
Creating Contract Template Deliverables.............................................................................. 6-36
Validating Templates.............................................................................................................. 6-39
Preview Templates.................................................................................................................. 6-41
Approving Templates.............................................................................................................. 6-41
Searching for Templates......................................................................................................... 6-41
Managing Changes to Contract Templates............................................................................. 6-43
Defining Global Templates.................................................................................................... 6-46
Managing Variables................................................................................................................ 6-47
Managing Sections.................................................................................................................. 6-50
Managing Folders.................................................................................................................... 6-52
A QA Validations
Validations - Overview............................................................................................................. A-1
B Workflows
Workflows - Overview.............................................................................................................. B-1
Approval Workflows................................................................................................................ B-1
v
C Concurrent Programs
Contract Terms Library............................................................................................................. C-1
D Seeded Data
Responsibility........................................................................................................................... D-1
Deliverables.............................................................................................................................. D-2
Document Types....................................................................................................................... D-2
Layout Template....................................................................................................................... D-3
Notifications............................................................................................................................. D-4
Procurement Notifications........................................................................................................ D-6
System Variables...................................................................................................................... D-7
Lookup Codes......................................................................................................................... D-28
Function Security.................................................................................................................... D-28
E XML Reference
Contract Terms XML Reference................................................................................................ E-1
Glossary
Index
vi
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vii
Preface
Intended Audience
Welcome to Release 12 of the Oracle Procurement Contracts Implementation and
Administration Guide.
Implementers and administrators of Oracle Procurement Contracts to be used in Oracle
Purchasing, Oracle iSupplier Portal, Oracle Sourcing.
See Related Information Sources on page x for more Oracle Applications product
information.
Documentation Accessibility
Our goal is to make Oracle products, services, and supporting documentation
accessible, with good usability, to the disabled community. To that end, our
documentation includes features that make information available to users of assistive
technology. This documentation is available in HTML format, and contains markup to
facilitate access by the disabled community. Accessibility standards will continue to
evolve over time, and Oracle is actively engaged with other market-leading technology
vendors to address technical obstacles so that our documentation can be accessible to all
of our customers. For more information, visit the Oracle Accessibility Program Web site
at http://www.oracle.com/accessibility/ .
ix
Accessibility of Code Examples in Documentation
Screen readers may not always correctly read the code examples in this document. The
conventions for writing code require that closing braces should appear on an otherwise
empty line; however, some screen readers may not always read a line of text that
consists solely of a bracket or brace.
Structure
1 Introduction to Oracle Procurement Contracts
2 Oracle Procurement Contracts Dependencies
3 Implementation Overview
4 Setting Up Oracle Procurement Contracts
5 Implementation and Other Considerations
6 Setting Up Contract Terms Library
7 Contract Expert Administration
A QA Validations
B Workflows
C Concurrent Programs
D Seeded Data
E XML Reference
Glossary
x
This guide provides detailed information about the architecture and setup of the Oracle
Contracts product.
Oracle Purchasing User's Guide
This guide provides information on setting up and using the Oracle Purchasing
product. It provides an introduction to the concepts, features, and terminology for the
procurement professional that are included in Oracle Purchasing.
Oracle Sourcing Implementation and Administration Guide
This guides describes how to set up and administer Oracle Sourcing. Oracle Sourcing is
the enterprise application that drives more and better sourcing through online
collaboration. It is a key component of Oracle Advanced Procurement and is another
important Oracle Procurement Contracts integration.
Oracle iSupplier Portal User Guide
This guide helps you understand and use Oracle iSupplier Portal, which integrates with
Oracle Procurement Contracts.
Oracle E-Records Implementation Guide
This guide contains detailed information about the architecture and setup of Oracle
E-Records. Oracle E-Records enables organizations to maintain electronic documents
and also supports the ability to electronically sign those documents
Oracle Applications Concepts
This guide provides an introduction to the concepts, features, technology stack,
architecture, and terminology for Oracle Applications. It provides a useful first book to
read before an installation of Oracle Applications. This guide also introduces the
concepts behind Applications-wide features such as Business Intelligence (BIS),
languages and character sets, and Self-Service Web Applications.
Oracle Applications System Administrator's Guide
This guide provides planning and reference information for the Oracle Applications
System Administrator. It contains information on how to define security, customize
menus and online help, and manage concurrent processing.
Oracle Alert User's Guide
This guide explains how to define periodic and event alerts to monitor the status of
your Oracle Applications data.
Oracle eTechnical Reference Manuals
Each eTechnical Reference Manual (eTRM) contains database diagrams and a detailed
description of database tables, forms, reports, and programs for a specific Oracle
Applications product. This information helps you convert data from your existing
applications, integrate Oracle Applications data with non-Oracle applications, and write
custom reports for Oracle Applications products. Oracle eTRM is available on Oracle
MetaLink.
Oracle Workflow Administrator's Guide
xi
This guide explains how to complete the setup steps necessary for any Oracle
Applications product that includes workflow–enabled processes, as well as how to
monitor the progress of runtime workflow processes.
Oracle Workflow Developer's Guide
This guide explains how to define new workflow business processes and customize
existing Oracle Applications–embedded workflow processes. It also describes how to
define and customize business events and event subscriptions.
Integration Repository
The Oracle Integration Repository is a compilation of information about the service
endpoints exposed by the Oracle E-Business Suite of applications. It provides a
complete catalog of Oracle E-Business Suite's business service interfaces. The tool lets
users easily discover and deploy the appropriate business service interface for
integration with any system, application, or business partner.
The Oracle Integration Repository is shipped as part of the E-Business Suite. As your
instance is patched, the repository is automatically updated with content appropriate
for the precise revisions of interfaces in your environment.
xii
1
Introduction to Oracle Procurement
Contracts
• Contract terms governing their price, shipment, payment, quality, and other mutual
obligations of the involved parties.
Oracle Procurement supports the basic business processes of the procurement contract
life cycle. Oracle Procurement Contracts enhances the ability of buying organizations to
manage these stages by adding sophisticated contract management and compliance
features to Oracle Purchasing, Oracle Sourcing, and Oracle iSupplier Portal.
Author Contracts
When you author contract terms, you leverage standard clauses, templates, and
business rules set up in the library to define contractual obligations driven by legal and
business requirements. You also set up and monitor tasks that enable the fulfillment of
these obligations.
Negotiate Contracts
During negotiation, you create sourcing documents, such as RFIs or RFQs, with draft
contract terms. Suppliers review, respond, and may suggest changes to the contractual
terms. After all parties have reached agreement, and all sourcing documents have been
submitted, an award is made. You track and archive all interactions with the
prospective sellers for retrieval in case of disputes.
Administer Changes
You define a formal contract change request process for your organization and the
supplier community. Amendments to contract terms are routed to designated
individuals for approval. You keep track of the changes for audit trail purposes.
Installation Verification
Before proceeding with implementation of Oracle Procurements Contract and its
dependencies, you must verify that you have installed Oracle Applications correctly.
For more information, see Oracle Applications Installing Oracle Applications Guide.
Mandatory Dependencies
For all the features to function properly, Oracle Procurement Contracts requires
installation and implementation of the following modules:
• Oracle Purchasing: Provides the backbone to author, approve, amend,
communicate, and print contracts. For more information, see the Oracle Purchasing
User's Guide.
• Oracle XML Publisher: Provides information on setting up and using RTF and PDF
templates that are used to preview and print contracts and contract templates. For
more information, see the Oracle XML Publisher Users Guide.
Conditional Dependencies
The following conditional dependencies provide additional functionality but are not
required for Oracle Procurement Contracts to function:
• Oracle Sourcing: Provides complete contract terms negotiation capabilities. For
more information, see Oracle Sourcing Implementation and Administration Guide.
• Oracle iSupplier Portal: Allows suppliers to view contract terms and request
changes. For more information, see the Oracle iSupplier Portal User's Guide.
Process Description
In procurement organizations, there is a need to author and negotiate procurement
contracts using accepted legal and business terms. Many of these contracts tend to be
similar in nature and can be created from previously defined templates. The Oracle
Procurement Contracts Contract Terms Library is a repository of such templates and
terms (clauses). This library also contains a repository of custom contract expert rules
which bring in additional required clauses into a contract. These rules are based on
information that is available in the contract or from additional questions to which
contract authors respond during authoring. Procurement and Sourcing professionals
can then create documents (including request for quotations (RFQ), blanket purchase
agreements, and purchase orders) using standard templates, clauses, and contract
expert rules. Setting up business documents and the Oracle Procurement Contracts
Contract Terms Library are important steps in implementing Oracle Procurement
Contracts.
In addition, you must make the following business-related decisions to determine how
your organizations need to be setup to implement Procurement Contracts:
• How many organizations will be involved in the implementation?
• Will any of these organizations establish and administer standard contract policies
and terms at the global level?
• Do your local organizations require customizing to meet local business and policy
regulations?
• Do you have the following user roles for the library defined?
• Contract Terms Library Administrator
Once these decisions are made, you are ready to setup contracts. To do this, you will
find the operating unit classification in the organizations definition pages. For the
operating unit listed in the Organization Classifications region, set up the following
Contract Terms options:
• Auto Adopt Global Clauses: This enables automatic adoption of global clauses in a
local organization. The clauses do not have to be approved separately in the local
organization if the Auto Adopt option is set to Yes.
• FYI Notifications - For example, approval of global clauses that are now ready
for adoption
• Library Approver (Buy Intent):: Set a library approver for Buy Intent to route
workflow approval notifications for clauses and templates.
• You must set up at least one contract template for each operating unit that is
implementing Oracle Procurement Contracts. During contract authoring, this
contract template can be applied to a Sourcing or Purchasing document. For details
on how to create a contract template, see Creating Contract Templates, page 6-30.
Steps:
To set up operating units:
1. Log in to the Human Resources responsibility.
5. In the Organization Classifications region, place the cursor in the Operating Unit
classification.
7. Select the Contract Terms Setup option from the list of values.
8. In the Contract Terms Setup window, enter values for the following options:
• Auto Adopt Global Clauses: This enables automatic adoption of global clauses
in a local operating unit. The clauses do not have to be approved separately in
the local operating unit if the Auto Adopt option is set to Yes.
• Library Administrator for Buy Intent: Set a library administrator Buy intent to
receive notifications when a global clause is created and needs adoption in the
local operating unit.
• Library Approver for Buy Intent: Set a library approver for Buy intent to route
workflow approval notifications for clauses and templates.
• Clause Sequence Category: Provide a value here if you want to activate the
AutoNumbering function for clauses in the operating unit. Leave it blank if you
want to number clauses manually. See: Setting Up AutoNumbering, page 4-17.
4. Select a business group to which all the operating units belong. If you have not
defined your own business groups, select the default business group.
6. Navigate to the Organization Security tab. At this stage, you can select one of the
following options:
• Navigate to the Classification region and provide a list of operating units and
their names. This will be the list of operating units under the security profile.
9. If you receive a warning message that indicates "The organization is not current as
at the start date," ignore it and provide the list of operating units that you want to
include in the hierarchy.
Note: If this profile option is not set, the user will have access to all
three intents.
Note: If you leave this profile option blank, it will have the same effect
as setting it to All.
Caution: Changing the value of this profile option, once it has been set,
is not recommended. This could cause data issues with clauses and
templates in the Contract Terms Library.
POAPPRV PO Approval
You can customize approval flows. For more information, see the Oracle Workflow
Administrator's Guide.
These workflows are delivered with Oracle Purchasing and Oracle Sourcing, and can be
used to route purchasing documents and their associated contracts for special
contractual approval.
Note: Modifying seeded lookup values can corrupt data that was
created using the lookup values. You cannot end date or disable seeded
values.
• Optimize Clause Text Index: This program optimizes the clauses text index.
• Optimize Template Text Index: This program optimizes the contract templates text
index.
Field Content
Subtemplate Unchecked
In addition, define the effective date range (start date and end date) of the layout
template such that it allows you to preview the contracts and contract templates. If you
leave the End Date field blank, you can use the layout template indefinitely.
Prerequisites
You must be familiar with Oracle XML Publisher and have access to Oracle XML
Publisher Administrator Responsibility.
1. Log in to the XML Publisher Administrator responsibility.
5. Click the Duplicate icon for the Oracle Contract Terms Template.
9. In the Template Files region, click the Download icon for the OKCTERM_en.XSL
file.
13. Save the template with a new name, for example, MyTemplate_en.xsl.
14. In the Template Files region, click the Update icon for the OKCTERMS_en.xsl file.
15. Click the Browse button to locate and select your customized XSL-FO stylesheet
(Example: MyTemplate_en.xsl).
The system uploads the file and associates it with your layout template.
17. Click the Preview button to preview a sample document using your new layout
template.
• RFQ
• RFI
• Auction
For each document type, you need to specify a layout template for the following
sections:
• Procurement (either purchasing or sourcing)
You can create custom layout templates for every section and load them to the system
using XML Publisher. The layout templates determine the format of the Procurement
and Contract sections in the PDF document.
Steps
1. Log in to the Purchasing Super User responsibility.
4. Use the Document Type Layout field to associate a layout template for the Sourcing
or Purchasing section of the PDF.
5. In the Contract Terms Layout field, set the name of the layout template that is
created for the Contract Terms and Conditions section of the PDF.
Steps:
1. Log in to the Purchasing Super User responsibility.
4. In the PO Output Format field, select the PDF option from the list.
• Contract Templates
• Variables
• Folders
Setting Up AutoNumbering
Use this setup to number clauses automatically during creation.
Guidelines
In all responsibilities that create clauses, set the Sequence Numbering profile option to
yes.
For more information on setting this profile option, see the Oracle Applications System
Administrator's Guide.
Note: You can only delete a numbering scheme that is not assigned to a
contract template.
If you define a numbering scheme with the "a,b,c," numbering type and
a specific level with more that 26 entries, the system does not create
further alphabets. Instead, the system uses symbols for all entries
beyond 26. Preview the template or contract, as applicable, and make
sure the numbering scheme used is changed to use some other type.
5. Set the OKC: Clause Sequence Category profile option with the sequence created
above.
• Validation Types: The supported validation types are None, Independent, and
Table. You must only use the supported validation types when defining value sets
for user-defined variables.
Based on the value set definition, the system displays the list of values in the following
formats:
• Table: A drop-down list or a list of values.
• None: an input field in the authoring, based on the following format types:
• For the Number format type, the system displays an input field. However,
users can only enter numeric values in this field.
• For the Standard Date format type, the system displays a Date type field.
• Contract approvers or super users may have privileges that allow them to override
standard authoring controls. For instance, with override authoring privileges, users
can delete a mandatory clause from a business document or edit a protected clause.
In Oracle Purchasing, the seeded Super User menu has full access to the features
provided by Oracle Procurement Contracts. To restrict a specific function, choose one of
the following options:
• Exclude the corresponding function from the user's responsibility.
• Create a new menu without the corresponding function, and associate the menu
with the user responsibility.
The type of access to a business document is governed by the security features in Oracle
Purchasing, Oracle Sourcing, and Oracle iSupplier Portal. In addition to these existing
• Standard Authoring Privileges: Users can add or remove standard clauses, update
variable values, and change the contract template.
For more information on function security, see the Seeded Data appendix, page D-28.
For information on implementation considerations for function security, see Establish
Authoring Roles and Controls , page 5-15.
Setting Up Function Security for Contract Repository
Functional security provides control over the user's access to certain functions in the
repository. A user can have View-Only, Authoring, or Administrator responsibility. The
following table displays the functions that each responsibility has access to:
Setting Up Variables
Oracle Procurement Contracts supports the use of business variables (tokens) in clause
text.
For more information, see Managing Variables , page 6-47.
Steps:
1. Log in to the Contract Terms Library Administrator responsibility.
5. Optionally, select the Number Clauses check box to automatically number the
clauses in the contract.
6. Click the Add Another Level button to define the first numbering level.
• Optionally, select the Concatenate with Child check box to ensure that the
child level includes the numbering of its parent during previewing and
printing of the contract.
For instance, you would set up the numbering scheme as:
First level:
• a,b,c
• I,II,III
• First Level = a.
10. Click Apply to save and close the Numbering Scheme page.
Setting Up Sections
Sections are headings under which you organize contract clauses. The headings provide
structure and organization to a printed contract document. You can define sections that
can be used in authoring templates and contracts.
For more information, see Managing Sections, page 6-50.
Prerequisites
• Set up the Contract Terms Library.
• Set the Use Contract Expert profile option toYes at the site level.
For more information, see the Setting Up Profile Options section, page 4-5.
To use Contract Expert on business documents, you need to set up Contract Expert
rules in the Contract Terms Library. To set up Contract Expert rules:
• Create and approve clauses, page 6-1
• Create and activate a library of rules and assign them to appropriate contract
templates, page 7-8
For more information, see the Setting Up Profile Options section, page 4-5.
2. Click the Contract Types link. The contract types you define should be unique
across all organizations within the company. Note: For your reference, the Contract
Types page displays the list of seeded and current user-defined contract types.
3. Click the Create Contract Type button. The system displays the Create Contract
Type page.
4. In the Name field, enter a unique identifier for the contract type.
6. Select an Intent from the list of values. Depending on the nature (Intent) of a
contract, the contract could be buy-side, sell-side, or neither. Each Contract Type
should be associated with one Intent. The possible values for Intent are Buy, Sell,
and Other. If the Contracts Intent Access Control profile option is used, this
selection will limit which users will be able to select this Contract Type.
7. Select a Start Date. This is the date that the contract type becomes available.
8. Optionally, select an End Date for the contract type. After the End Date has passed,
when creating new contracts, users will not be able to select this type.
Setting Up Risks
When users create Repository contracts in Oracle Contracts, they may select multiple
risks associated with these contracts. For example: partner bankruptcy,
non-performance of a deliverable, non-compliance with non-disclosure terms, loss or
infringement of intellectual property, and damage to property or humans. This risks
must be defined in advance.
Steps
1. Log in to the Contracts Workbench Administrator responsibility.
Note: For your reference, the Risks page displays the list of all
user-defined risks. Oracle Contracts does not provide seeded risks.
3. The risks you define should be unique across all organizations within the company.
8. Optionally, select an End Date for the risk. After the End Date has passed, the risk
cannot be selected on a contract.
Steps
1. Login to the Contracts Workbench Administrator responsibility.
2. Click the Contact Roles. For your reference, the Contact Roles page displays the list
of all user-defined roles. The roles you define should be unique across all
organizations within the company.
3. Click the Create Contact Role button. The system displays the Create Contact Role
page.
7. Optionally, select an End Date for the role. After the End Date has passed, the role
cannot be selected on a contract.
All of these contracts are automatically visible in the Contracts Workbench, as long as
they include contract terms.
This section covers the following topics:
• Setting Up Profile Options, page 4-28
• Recent Contracts
• Expiring Contracts
• Contract Deliverables
• Contracts at Risk
You can use the personalization option to add the Bookmarks bin,, remove one of
2. The default columns for the Advanced Search Results page are:
• Contracts Number
• Contract Name
• Organization
• Party Name
• Contract Type
• Intent
• Status
• Effective Date
You can use the personalization option to remove one of the above columns, change
the order the columns are displayed, or add any of the following columns:
• Contract Administrator
• Overall Risk
• Version
• Expiration Date
• Termination Date
• Amount
• Currency
• Authoring Party
The personalization also impacts the Export option. After performing a search, the
user can export the search results to a Comma Separated (CSV) file. The exported
file will include only the columns shown on the screen. After personalization,
columns that are available for personalization but not selected will not be included
in the CSV file.
For more information on personalization, see:
• Oracle Applications Framework Personalization Guide Release 11i(Metalink Note
268969.1)
Overview
This chapter provides specific considerations for implementing Oracle Procurement
Contracts, as well as additional considerations for end-users. It also provides an
overview of the Oracle Procurement Contracts features that support the key stages of
the procurement contract life cycle.
Before you proceed with the implementation of Oracle Procurement Contracts, it is
recommended that you address the business considerations outlined in the following
table. The table also lists the sections in this guide where you can find relevant
information:
How many organizations will be involved in the Establish Contract Standards, page
implementation? 5-2
Which organizations will administer and control the Establish Contract Standards, page
standard contract terms at the global level? 5-2
How does your organization currently create and store Clauses, page 5-4
contracts?
Contract Templates, page 5-5
Do you need to translate your standard terms into Contract Templates, page 5-5
multiple languages?
Printed Contract Documents, page
5-23
Does your organization have a formal approval cycle for Approvals in Oracle Procurement
the standard contract terms? If so, do you need additional Contracts, page 5-27
approvers to approve business documents with contract
terms as compared to business documents without
contract terms?
What are the processes that you and your suppliers will Approve and Sign Contracts, page
collaborate on in order to complete and sign off on 5-25
contractual obligations?
Supplier Authored Contracts,
page 5-20
What are the standard print formats for your contracts? Printed Contract Documents, page
5-23
Are there standard business rules based on which contract Contract Expert, page 5-6
clauses need to be included while authoring a contract?
• Templates
• Deliverables
• Variables
• Folders
• Sections
For detailed description of these features, see Setting Up Contract Terms Library, page
6-1.
Before proceeding with implementation of Oracle Procurement Contracts, you should
familiarize yourself with the setup procedures related to establishing contract standards
in the Contract Terms Library.
Clauses
Implementation considerations for setting up clauses include:
• Intent: When defining a new clause, you must specify an intent (Buy or Sell) for the
clause. After setting the intent for a clause, it cannot be changed.
• If your organization only uses the Contract Terms Library for the Buy intent, set the
value for the OKC Clauses Library Intent profile option to Buy. This ensures that
users only create clauses with the Buy intent. For Oracle Procurement Contracts the
intent should always be Buy.
• Keyword Search Feature: To maximize the results of the search feature for standard
clauses, ensure that the following concurrent programs are run periodically:
• Synchronize Clause Text Index
Contract Templates
Contract templates are required to author procurement contracts. You can consider
managing templates based on your specific needs, such as transaction types, products
• Keyword Search Feature: To maximize the results of the search feature for contract
templates, ensure that the following concurrent programs are run periodically:
• Synchronize Template Text Index
• Document Types: To author procurement contracts, ensure that you have created at
least one template and assigned it to one or more procurement document types.
Examples of document types are RFQ, Auction, and Standard Purchase Order.
If you plan to use a common contract template to support multiple document types,
note the following: If the contract template contains clauses that use variables
sourced for specific document types, the system displays a warning if the same
clause is used in a contract for a different document type.
For example, if a contract template is assigned to document types RFQ and
Standard Purchase Order, you can apply the template to RFQs in Oracle Sourcing
or purchase orders in Oracle Purchasing. If this template contains a clause with a
system variable "Sourcing Document Number" the value for this variable will be
substituted on the RFQ, but not on the purchase order. For the users creating a
purchase order, the system displays a warning indicating that the variable could
not be resolved. One way to avoid issues on a contract is to carefully review the
validations results for the contract template and decide whether or not to include
clauses with these variables in the template.
• Layout Template: When choosing a layout template for a contract template, ensure
that you do not choose the RTF type layout template. The RTF type is not supported
by Oracle Procurement Contracts.
• Remember that deleting a value set or changing the name of a value set, after using
it in a question, could potentially cause system issues when the question is used in a
business document during contract authoring.
• When a global template is copied in a local organization, the rules from the global
template are not copied over. However, if the local organization already has rules
that are assigned to all templates, you would notice that those rules are available for
the template you just created.
• Currently, the system allows you to create and approve contract templates that are
Contract Expert enabled without any clauses. However, from an implementation
perspective, it is recommended that you provide at least the outline structure in the
template. It would be useful to define all the sections of the contract and the order
• It is recommended that you provide a Default Section assignment for clauses that
are used in Contract Expert rules. This ensures that the clauses are placed in
appropriate sections when Contract Expert is used on a contract. Contract Expert
uses the following order to determine the section into which an expert clause is
placed on a contract:
• Obtain the Default Section assignment from the Clause Definition.
• If the default section assignment is not found in the clause definition, get the
Default Section assignment from the template.
• You must create a contract template revision to update any of the Contract Expert
fields. However, note that if you update the Expert Clauses Mandatory check box or
the Default Section field by creating a revision, the changes take effect on all new
and existing business documents the next time Contract Expert is used on a
business document even though the template may not have been reapplied on the
business document.
• Note that if you choose to check Expert Clauses Mandatory on a contract template,
all expert clauses will be made mandatory. Use this only if this is the desired
behavior. Clauses that are made mandatory cannot be removed from the business
document.
• Questions used in rules must be manually sequenced in the order in which you
expect the sales personnel or a contract administrator to answer them. Dependent
questions must be carefully placed under the main question so that they flow
logically as the users are answering questions.
• Remember rules are unique to an organization. So, even if you have similar rules in
different organizations, you will have to create these rules individually in each
organization. Unlike clauses or templates, rules cannot be copied across
organizations.
• Note that even though draft clauses are allowed to be included in a contract
template, this does not apply to contract expert rules assigned to that template. All
clauses used in rules must be in Approved status.
• Note that numeric value sets are not supported for questions with response type of
List of Values. If the response to your question is a number, remember to use a
constant instead.
Deliverables
Deliverables are contractual commitments and obligations that can be associated to a
contract template. This feature is specific to Oracle Procurement Contracts. Some
considerations for using deliverables include:
• Contract Templates: You may have a common contract template that supports
multiple document types across Oracle Sourcing and Oracle Purchasing. When
such a template is applied to a purchasing document, clauses marked as
"Provisions" and deliverables of type "Negotiation" are not copied to the purchasing
document.
Variables
Oracle Procurement Contracts supports the following types of variables:
• System
• User-defined
• Deliverable
• You cannot delete a variable if another procurement organization has used this
variable in a clause.
So if the system does not let you delete a variable that is not used in any clauses in
your organization, it is possible that another procurement organization is using the
variable in a clause.
Negotiate Contracts
Process Overview
The contract negotiation process includes the stages of creating a sourcing document
with contract terms, publishing it, gathering responses, and finally making an award.
For more information on general negotiation operations in Oracle Sourcing, see the
Oracle Sourcing online Help.
• If you need to include these documents in the purchasing document, when the
negotiation is awarded, you must ensure that the purchase order is not
submitted for approval automatically from Oracle Sourcing. To do this, users of
• Once the purchasing document is approved, you cannot attach any documents
with the Contract category unless you revise the purchasing document.
Other factors to consider when implementing the process of authoring negotiation with
contract terms are:
• Flow down of Provision and Negotiation Deliverables:
• You can define contractual, negotiation, and internal purchasing types of
deliverables to a sourcing document. Only negotiation deliverables can be acted
upon during the negotiation process.
• Online Discussion: You can use the online discussion feature in Oracle Sourcing to
negotiate the detailed contract terms interactively.
Approval Workflow
Some sourcing documents with contract terms may require special approvals. You can
achieve this by using the various seeded workflow functions, such as
"STANDARDCONTRACT", which checks for the existence of contract terms in a
document. You can customize the workflow to submit the document to different
approvers, based on whether the document contains non-standard clauses or other
criteria that is appropriate to your business.
For details on seeded workflow functions in sourcing approval workflow, see Approval
Workflows, page B-1.
Process Overview
Contract authoring is the process of adding contract terms to a purchasing or sourcing
document.
In order to add contract terms, users of Oracle Purchasing and Oracle Sourcing must
first create their business documents.
If Oracle Procurement Contracts is installed, users can then add or view contract terms
in the following business documents:
• Standard Contracts Authoring: Identify the users who would author standard
contracts, but may not have permissions to author non-standard terms or to remove
contract terms on a contract. For these users, remove the following functions from
their responsibilities:
• Allow Non-standard Terms
• Super User Privileges: These are users in your organization with overriding
privileges. They are able to override standard privileges, to edit clauses that are text
protected, or delete mandatory clauses. Use the menu from the seeded Oracle
Procurement Contracts responsibility for these users.
For the functions that are available in Oracle Procurement Contracts for user security,
see the Seeded Responsibility section of Appendix D, page D-1.
The following table displays the differences between a responsibility with full access to
Procurement Contracts functionality to another responsibility without any access to
Oracle Procurement Contracts features.
PO Entry form: The Terms window displays PO Entry form: The Terms window displays
the Contract Terms region. Buttons are the Contract Terms region. Buttons are
enabled, varied by the phase of the Authoring disabled and, if applicable, users can view the
flow. contract template name.
Print capability: The generated purchase order Print capability: The generated purchase order
PDF document includes the contract terms PDF document only includes the purchase
along with purchase order details. order details.
PO Summary form: The With Contract Terms PO Summary form: The With Contract Terms
check box is visible and enabled. check box is visible and enabled. Also, users
can obtain a list of the purchase orders, open
the purchase order, but not view the contract
terms.
Copy Function: Users can view the Contract Copy Function: Users can view the Contract
Terms copy choices, all radio buttons are Terms copy choices, radio buttons are
enabled. enabled. Also, users can copy the purchase
order with contract terms to a new purchase
order, but cannot view the contract terms on
the new document.
View Contract Terms: Users can view contract View Contract Terms: From the PO Summary
terms from the PO Summary form. form, users cannot view contract terms. The
menu option is displayed but disabled.
The Contract Terms Library setup navigation The Contract Terms Library setup navigation
and Manage Deliverables page is accessible. and Manage Deliverables page is not
accessible.
Author Contracts
To create a contract, you can choose one of the following approaches:
• New Contract: To author a contract, you can create a new purchasing document
and then apply an appropriate contract template to the document. In the new
contract, you can add or modify contract terms that were brought in from the
contract template.
• Oracle Sourcing: You can set up a sourcing document, with contract terms, to
automatically create a purchasing document with contract terms after an award is
made.
• Copy the contract terms from the original contract, but choose the latest
versions of the clauses from the Contract Terms Library.
• Do not copy the contract terms. In this case, you can start in the copied
purchasing document by applying a default template or choosing another.
• Purchasing Open Interface: You can use the existing Purchasing Open Interface to
create purchasing documents. However, contract terms cannot be imported using
the open interface. You should always import the purchasing document in the
Incomplete status if you intend to apply a contract template subsequently.
Remember the following when you are answering Contract Expert questions on a
business document:
• Before you submit the business document for approval, you must answer all the
mandatory questions.
• If you want to edit responses to questions that depended on others, you must edit
the lowest-level questions first, then work back up the hierarchy as far as you
require. Changing the response to a parent question without first blanking the
response to a dependent question will not cause the dependent question to be
removed from the list of questions.
• You may select a blank answer to a lower-level question to remove it from the list of
questions.
• If the response for a question is numeric, and you do not provide a value, the
system uses 0 as the default value. It is strongly recommended that you provide a
value, otherwise Contract Expert may bring in or remove clauses based on the
response of 0.
Remember to run Contract Expert if you have made changes to the business document.
For instance, if you have changed value of Payment Terms in your business document
and the change needs to bring in a different clause, you must run contract expert again
to bring in the revised set of clauses into the document.
If contract expert brings in clauses under a default section and you decide to move the
clauses under different sections, remember to remove the empty sections from the
document. The system will not do this automatically.
Remember, if a clause, brought in by Contract Expert, has been made non-standard or
replaced by an alternate, the system will not bring back the original clause the next time
Contract Expert is run. However, if you have removed the clause from the document
• You can download the system generated deviations report , including the approval
abstract, and format it offline and attach this offline document for approval.
Remember to use the Category 'Approval Abstract' if you want to attach this
document for approval. Only documents attached in the categories 'Contract' and
'Approval Abstract' will be attached to the approval notification.
If you plan on using your document attachment as the contract deviations report, do
not select the Generate for Approval check box in the document to avoid potentially
attaching duplicate and incorrect reports in the approval notification.
Impact of Contract Expert on Deviation Reports
There are special considerations regarding Contract Expert and the reporting of
deviations:
• If Contract Expert has been run on the business document, the deviation report will
not report any Contract Expert related errors in the following cases:
• Incomplete configuration: You have not provided responses to all the questions.
• In both cases, remember to validate the contract terms of the business document to
review the errors in the validation report. If Contract Expert has been run on the
business document, and you run the deviation report, the system also runs the
Contract Expert process. This evaluates the conditions and determines if the clauses
on the document satisfy the conditions. If the results indicate that additional clauses
should be included or that some clauses should be excluded, these will individually
be reported as deviations.
2. Using the Contract Administrator responsibility create the contract template that
you wish to be a default and assign the document type to that contract with Default
Template enabled.
Master-Child Agreements
Your organization may have a master service agreement (master contract) with a group
of pre-approved suppliers, and later you create separate contracts (child contract) for
specific transactions. For example, your company already has negotiated a master
service agreement for general insurance and liability clauses with an advertising firm.
Your company now wants to negotiate a separate contract for a specific advertising
campaign with the same general insurance and liability clauses. In this case, you can
design a campaign-specific child contract that references the master contract for its
general liability and insurance clauses.
Referencing a master contract in a standard purchase order does not copy the contract
terms from the master contract to the standard purchase order. Instead, the document
number of the global blanket agreement or the contract purchase agreement is
referenced in the standard purchase order.
Furthermore, contract terms cannot be associated with planned purchase orders and
blanket releases. Therefore, do not use a regular blanket purchase agreement as the
master contract, if a child contract will need to have additional contract terms.
Global Agreements
Contract templates that are applied to a global agreement (for example, blanket
purchase agreement or contract purchase agreement) are also effective in the operating
unit that references the global agreement.
Consider the following business case for an organization with two operating units, OU1
and OU2:
• You create a contract template in OU1.
• You create a global agreement in OU1 and apply the contract template.
You can create global agreement in a central procurement organization and apply this
contract template. If you enable the global agreement for other organizations, all
operating units can utilize the contract terms associated with the global agreement, and
you do not need to author them again in these operating units.
Since the contract terms are now referenced in multiple operating units, while creating a
contract template ensure the terms are legally applicable to all the operating units in
which it is referenced directly or indirectly.
Miscellaneous Contracts
With Contract Repository you can create miscellaneous contracts, such as license
agreements, non-disclosure agreements, and merger agreements, which are not
specifically related to the purchasing function. You can create purchase agreements for
miscellaneous items that are outside the normal purchasing flow, for which full
• Translation: You can translate the XSL-FO stylesheet to the local language so
the content in the PDF file is created in the desired language.
• Association: After creating your layout template, you need to associate the
layout template to the document type that you need to use it with. Use the
Document Types form to associate your layout template to the document type.
The layout templates that Oracle Procurement Contracts uses are Document
Type Layout and Contract Terms Layout. The Document Type Layout template
defines the Cover Page and the Purchasing or Sourcing Document Details. The
Contract Terms Layout template defines the Amendment, Terms, and Signature
Block.
The printed procurement contract consists of the Document Layout followed by
the Contract Terms Layout. Both templates should be consistent and created
with that knowledge in mind. For more information on seeded layout
templates, see Layout Template, page D-1 .
You should review your layout requirements for all these components, evaluate the
default print layouts, and decide if changes are needed.
Other considerations for printed contract documents include:
• Amendment: This section lists the details of the changes to each clause, section,
and deliverable, after a Sourcing or Purchasing document is amended.
• Terms: All the clause text and sections as heading, along with the deliverables,
are printed in this section.
• Contract Deviation Report: Oracle Procurement Contract enables you to review the
deviation in the contract terms compared to the standard contract template. You
can attach the Contract Deviation Report to the approval notification.
Cancel Contracts
Purchasing document with contract terms can only be canceled from the Enter PO form
Process Overview
Approve Contracts
A contract must be approved internally by management, and optionally by legal
professionals, before it is sent to the supplier for signing. Depending on the complexity
of your contracts, you can route them to different or additional approvers. For example,
if some contracts contain non-standard clauses that are specially negotiated, you can
route those contracts to legal professionals for additional review and approval.
See the Oracle Purchasing online Help for more details.
Sign Contracts
You must identify contract signatories and establish guidelines for the contract
signature process and communicate it across the organization. Oracle Procurement
Contracts supports two ways to sign a contract, manually or electronically. In both
cases, the supplier's acceptance of the contract is recorded.
Electronic Signature: To enable electronic signature, Oracle E-Records must be
installed. During the award process in Oracle Sourcing, you choose "Document And
Signature" as the acceptance criteria to require the supplier to electronically sign the
purchasing document that is auto-created.
In Oracle Purchasing, to require electronic signature, you set the acceptance criteria to
"Document and Signature" while authoring a contract.
After the contract is approved internally, the supplier receives a notification for
signature. The supplier signs the contract online. A notification is sent to the buyer, who
then signs the contract online. Oracle E-Records keeps the signed contract copies in the
evidence store for future reference.
Digital Signature: You can enable Digital Certificate based signatures for your
organization whether a contract is signed by supplier or the buyer. Oracle Procurement
Contracts utilizes Oracle Workflow technology to enable this feature. Oracle's digital
signature is PKCS7 compliant based on X.509 certificates. You need to obtain the digital
certificate from third party certificate provider and upload these certificates to the user's
browser and also the Oracle database.
See the Oracle Workflow User's Guide for details.
Approve Contracts
The following factors are important to the approval process and your contract
administrators and buyers should be familiar with them:
• With Oracle Procurement Contracts you can approve both purchasing documents
and legal terms through the existing purchasing approval workflow. As a result,
approvers in legal and business groups can approve the document through the
same approval process and thus minimize the disputes between the approvers in
two groups. When you design or update the PO Approval workflow, you need to
include approvers for legal terms.
• You should also make it a business practice to run the Contract Deviations report
and review those change identified.
• The contract template that is applied in the initial version of a contract cannot be
removed or changed after this version is signed and accepted by the supplier and
the buyer.
Approval Workflow
When a contract has a non-standard clause, you may want to route the contract to
additional or different reviewers for special approvals. You can achieve this by using
the workflow function seeded in the Purchasing Approval workflows.
For details on seeded workflow function, refer to the Approval Workflows appendix,
page B-1.
• Approving Contract Templates: Standard clauses from the library are used for
creating contract templates. You approve templates in the Contract Terms Library.
• Approval During Award: You can submit a sourcing document for internal
approvals before you make an award to a supplier.
• Approving Purchase Orders: You can submit a purchasing document with contract
terms for approval.
Contract Statuses
With Oracle Procurement Contracts, the existing purchasing document status have
additional implications.
The table below lists the event in a contract life cycle and related purchasing document
status:
Process Overview
A signed document can be executed through the regular shipment and receiving
processes supported by Oracle Purchasing. In addition, buyers and suppliers can
execute and track additional contractual obligations through the deliverables feature
provided by Oracle Procurement Contracts. It is important to note that buyers and
suppliers can only manage deliverables that are assigned to them.
This section covers the implementation and other considerations for:
• Deliverables, page 5-28
Deliverables
The due date for a deliverable can be set to:
• Fixed due date. For example, December 10th, 2005.
• Relative Due Date. For example, 10 days after the agreement expires.
Deliverable due dates that cannot be resolved are not displayed on the Deliverables
page until the event that it refers to actually occurs. For example, the system cannot
resolve the due date for a deliverable, if it is set to "10 days after the purchase order is
closed" until the purchase order is actually closed. The reason is, the system does not
Supplier Contacts
During contract authoring, users can create one or more deliverables with a supplier
contact associated with it. However, in order for the suppliers to follow through and
manage these deliverables, they must have registered with Oracle iSupplier Portal as
users of the application.
• Legal professionals can find all contracts that use a specific clause that needs to be
modified due to new regulations.
Process Overview
You can amend a contract, including contract terms, at any time after the contract is
signed. An amendment increments the version of the Sourcing or Purchasing
document.
A contract amendment may be initiated by the buyer or the supplier. Buyers need to
review and approve change requests submitted by suppliers. To incorporate changes,
buyers need to manually update the contract terms after approving the change request.
Supporting Documents
If you have supporting documents for a contract that are critical, then changes to these
documents may need to be governed by formal revision process. A formal revision
process may require users to submit the changes for internal approval and supplier
signature before the changes become effective. For your reference, changes are
displayed in the PO Revision History page. To require a formal revision process, you
should categorize the supporting document as a "Contract"' in the contract document
attachment.
Change Requests
After the contract is signed and accepted by both parties, it can be executed. The
supplier can request changes to contract terms using Oracle iSupplier Portal. After the
buyer has reviewed and accepted the changes requested, the system does not
automatically reflect the changes to the contract terms. The buyer need to revise the
purchase order and amend the relevant contract terms.
Printing Amendments
You can make changes to a contract after it is accepted and signed by the supplier and
the buyer and it is ready to be executed. Any modification would appear in the
Amendment section of the contract PDF file, if the PO: Generate Amendment
Documents profile option is set to Yes.
Other considerations include:
• Print Text feature: While amending a clause in a contract, you can use the Print Text
feature to print the amended clause text in the Amendments section of the printed
contract, in addition to the amendment description.
Process Overview
When a contract nears expiration, you may renegotiate or close out the contract. Using
Oracle Purchasing and Oracle Sourcing, you can renegotiate the business elements of an
existing contract.
If Oracle Procurement Contracts is enabled, you can additionally include contract terms
during your renegotiation process.
During the closeout process, you may require one or more tasks to be performed, such
as submitting a contract performance report, or creating a budget versus actual cost
analysis. With Oracle Procurement Contracts enabled, you can model these tasks as
internal deliverables and track them as part of the contract.
For more information on renegotiating and closing out contracts, see the Oracle
Purchasing and Oracle Sourcing online Help.
Monitor Expirations
You can specify start and end dates on a blanket or a contract purchase agreement. To
track the expiration of the contract, you can create an internal deliverable with a due
date such as "one month before agreement expires." The person responsible for the
deliverable would be notified and can take necessary actions before the contract expires.
Note that standard purchase orders do not support start and end effective dates. To
support closeout and renewal, you can use the Purchase Order Signed event or a fixed
due date event when setting up the deliverables.
• Clause Title: Enter a title for the clause. The clause title is unique within an
organization.
• Display Name: Optionally enter the display name for the clause. The display
name does not have to be a unique name. Your organization could have
alternate names with the same display name. The system uses the Display
Name on a printed contract field. If you leave this field blank, the Clause Title is
used as the display name.
• Intent: Select the intent of the contracts that can use the clause. Select the Buy or
Sell option from the list of values.
Note: Based on the OKC: Clause Intent profile option setup, you
can create clauses for buy, sell, or both intents. If you set the profile
option to either Buy or Sell, the system provides read-only access to
the Intent field. This profile option also governs other feature in the
Contract Terms Library, including contract templates and variables.
• Type: Use the Type field to classify the clause according to the business purpose
(for example, General or Payment terms). Select a clause type from the list of
values.
• Default Section: Optionally select the default section from the list of values. You
can use sections as heading to format contracts.
• Status: The system controls this field. During the creation process, the clause is
in Draft status.
• Protect text. To prevent modification to the clause text in documents, select the
protect Text check box.
• Global. To make the clause available to all organizations, select the global check
box. This field is only available in the Global operating unit.
• Text. Enter the necessary text for the clause. Clause texts can include business
variables. In the text area you can choose one of the following modes:
• Rich Text. The Rich Text editor provides special formatting of the text that
is driven by business and legal requirements. The Rich Text editor provides
a Tool bar and a Text area.
• Text. The Text mode provides a plain text area only. If you use the Rich
Text mode to enter the clause text and then toggle to the Text mode, the
system displays the HTML source for the text you have entered. However,
the system prints the clause using the Rich Text features even if you have
toggled to the Text mode.
• Add Variables. Click Add Variables to search for available variables, The Add
Variables page appears. From this page you can search for available variables,
then click the Insert icon to add the variable that you want into your text, at the
location of the cursor within the text area. In the clause text, variables are
displayed as tags in the format [@variable name@].
Note: If you do not use the Rich Text editor to author clause
text, the system inserts the variables at the end of the test
instead of where the cursor is located. You can use the Cut and
Paste operation to move a variable tag, within the clause text to
the appropriate location.
• Instructions. Optionally enter instructions on how and when to use the clause
in a contract template or business document. Users can view these instructions
when they add the clause to a contract template or business document.
• Allow Include by Reference. Select the check box to replace the clause text with
the Reference text when the clause is used in a contract. Optionally enter the
following information:
• Reference Source. Provide the source of the clause that may not Be printed
in full text.
• Apply and Add Details. Click this button to save your work and move to the
Update Clauses page.
• Apply. Click Apply to save the clause and close the Create Clauses page.
• Cancel. Click Cancel to close the Create Clauses page without saving the clause.
2. Search and select a clause. For more information , see the searching for Clauses
section.
• Incompatible
5. In the Clause Title field, enter the clause title. You can also use the List of Values
icon to search and select the clause.
6. Click Save.
7. Click Compare to compare related clauses. Select the two clauses that you want to
compare and then click the button.
8. Click Compare with Current to compare the related clause with the current clause.
Select only one clause from the list and click the button
5. In the Name field, enter the folder name. You can also click the List of Values icon
to search and select the folder name.
• Select and submit more than one clause for approval at the same time.
• Respond to approval.
3. Click Submit to
• Change the clause status from Draft to Pending Approval.
• Manually adopting or localizing global clauses. For operating units that require a
review and approval process, this feature enables them to make the global clauses
available for use in their own organization. The operating units can use one of the
following:
• Adopt Global Clause as-is. Adopt the global clause without changes. The
system records the user name and system date and time of adoption along with
the adopting organization. The local operating unit can adopt multiple global
clauses at the same time. After adoption and approval of global clauses, the
local operating unit can use the clauses to author contracts.
• Localize Global Clauses. Localize the global clause by making some changes to
the clause or translating it to the language of the local organization. The system
creates a copy of the clause in Draft status. During localizations, you can
modify the clause text and add or delete variables from the text. You can then
submit the local clause for approval. the system records the approver name and
data as the adoption details for the clause. Note that if you are not changing the
intent of the clause text and only translating it into a local language, you can
select the translation Only check box. This is for informational purposes and
can be used to report on why a clause was localized.
2. Select the Global check box. This check box is only available in the designated
global organization. When a global clause is approved, it remains global on all
subsequent versions. However, if an earlier version of a clause is not global, you can
make the subsequent versions global.
2. Search for Global clauses. For more information, see Searching for Clauses, page 6-
12.
Note that:
• A global clause that is approved (in the global operating unit) is available for
adoption in local operating units. If a global clause is on hold or expired,
although the clause is displayed in the search results, local operating units
cannot adopt or localize it.
• In a local operating unit, the first version of an adopted global clause must be
manually assigned to a folder that is created in that operating unit. However,
after adoption, the system assigns the subsequent versions of the global clause
to the same folder.
• Each time that a new version is created and approved for a global clause, that
version becomes available for adoption in the local operating units. Each
version of a global clause must be adopted individually.
5. Review every clause on a case-by-case basis and decide whether to adopt the clause
as-is or localize it.
6. Click for Adoption to view the full text and clause details. At this point you can:
• Adopt the clause as-is. In this case, you only need to submit the clause for local
approval.
• Localize the clause. When you localize a clause, you can modify the text and
check the Translation Only check box to indicate that the changes were for
translation purposes. Submit the localized clause for approval on completing
the modifications. Note that you can delete a clause that had been localized and
is in draft status. This makes the original global clause available again for
adoption.
2. In the global organization, search for global clauses. For more information, see the
Searching for Clauses, page 6-12.
5. Click Go
the View Adoption Status report provides the following information:
• Organization Name
• Clause Title
• Version
• Adoption Type (indicates if the global clause was adopted as-is or localized)
• Translation Only (indicates if the global clause was only translated to the local
language).
• Adoption Status (indicates if the clause was approved in the local organization
or not).
• Keyword
• Type
• Title
• Number
3. To access additional search options, click the Show More Search Options link. These
options are:
• Intent
• Status
• Provisions only
• Used in templates
• Default section
• Number
• Title
• Keyword
• Type
• Status
• Start Date
• End Date
• Used in Templates
• If you do not select the Show All Versions check box, the
system displays only the latest version of the clauses that match
the search criteria.
5. In the Search Result section, select the check box for any clause and click one of the
following buttons:
• Submit. Submit the clause for approval.
• Review for Adoption. This button is available only to local organizations for
adopting global clauses. See: Approving Global Clauses in Local Operating
Units section, page 6-10.
• Display Name
• Clause Description
• Clause Text
To perform the keyword search, you must run the following concurrent programs
periodically:
• Synchronize Clauses Text Index
If you have not run the concurrent programs, the search will not provide accurate
results. The frequency for running these programs must be decided on a case-by-case
basis. You can schedule the concurrent programs to run together automatically at
predefined intervals.
Note: You do not need to run the foregoing concurrent programs for
each operating unit. Running the program synchronizes the data across
the operating units that use the Contract Terms Library.
2. Click Browse to search through folders for the clause that you want to retrieve. The
system displays the list of available folders.
3. To view all clauses assigned to a folder, select the check box for that folder.
5. If applicable, select the check box for any clause and click and of the following
buttons:
• Submit. Submit the clause for approval.
• Review for Adoption. This button is available only to local organizations for
adopting global clauses.
• Versioning clauses
• Comparing clauses
• Deleting clauses
• Choose one version and compare with the one that is being updated
• If the clause is in any other status, certain fields are protected and cannot be
updated.
4. Click the Update icon. The system opens the clause for update.
• Apply
• Save
• Cancel
Versioning Clauses:
The Versioning feature enables you to make changes to clauses that are already in use
on contracts. You can modify clause details including clause text and description. New
versions need to be approved before they can be used in contracts.
A new version is required if:
• The clause is not in draft status
• the clause is approved and the attributes controlled at the clause version level
require updating.
2. In the Search region, enter the search criteria for the clause that you want.
5. Click Create New Version. Fields from the previous version are copied to the new
version. You cannot change clause title, number, and intent, when creating a new
version.
• Save
• Submit
• Cancel
Comparing Clauses:
You can compare any two versions of a clause. the system provides a redline
comparison of the changed made to the clause text.
You can choose any two versions of a clause, and then click the Compare button
available in the Version History subtab of Updating Clause page.
Deleting Clauses:
You can only delete clauses that are in draft or rejected status.
1. Navigate to the Clauses page.
Navigation: Contract Terms Library > Clauses tab
5. Click Delete. The system asks you to confirm your request for deletion.
6. Click Yes.
Importing Clauses
You use the Clause import feature to import clauses into the Contract Terms Library. In
addition to clauses, you can import the following related entities:
• Variables
Clause import can also be used on an ongoing basis to update these entities in the
library.
You can import clauses and the related entities using the following methods:
• Open Interface, page 6-25: For this method, use SQL*Loader, PL/SQL Scripts, or
JDBC to load the entities directly into the corresponding interface tables. This
process is outside the scope of the Clause import program. The clause import
validates the data and imports the content into the library.
• XML Data File, page 6-27: Using this method, you import data directly from a
source XML file that conforms to the XML schema that is published for import. The
clause import validates the XML data and imports the content into the library.
The following tables identify and describe the attributes that are imported for each
entity:
Clauses
Attribute Description
Clause Relationships
Attribute Description
User-Defined Variables
Clauses can have variables embedded in the clause text. System variables are already
defined in the system and are available for use in clause text. However, user-defined
variables must be defined in the system before they can be used in clauses. A variable
code uniquely identifies the variable and must be specified as part of the definition. It is
recommended that the variable code follow the pattern OKC$<intent>$<code> and
User-Defined Variables
Attribute Description
Contract Expert Enabled Indicator Indicates whether the variable can be used in
Contract Expert.
Value Sets
Attribute Description
• D (Date)
• N (Number)
• C (Character)
• Y: Allowed
• N: Not Allowed
Precision Allowed for Number Types Number of decimal points allowed for
number values.
• N: None
• I: Independent
Each value set that has validation type of independent should have a list of valid
values.
Attribute Description
For detailed information about the preceding tables, see the Oracle eTechnical Reference
guide (eTRM).
• Correcting errors
Prerequisites
• Set up necessary lookup codes, for example, clause types.
2. Run the Import Clauses concurrent program in validation mode to identify any
invalid data or errors. This is recommended but not a mandatory step. You can
specify the following parameters for the Import Clauses concurrent program:
Batch Name Name of the batch Yes Provide a batch name to easily identify
the records that you are importing.
3. The Import program generates a report that lists the success and error messages.
The errors at this stage would primarily be related to data format or missing
required data. Review the report and correct the errors outside the system and
prepare the data for a reload.
4. Reload the data into the interface table after correcting the errors.
5. Run the Import Clauses concurrent program in import mode to create or update
data in the library. If the program was run previously in the validation mode with
no errors, then the import should succeed. The Import program generates a report
that lists the success and error messages. Records with errors remain in the interface
6. If clauses are imported in Draft status, they must be approved before they are
available for authoring contracts. If they are imported in the pending approval
status, the system automatically routes the clauses to approvers for review and
approval.
7. Purge the Interface records. See: Purge Interface Records, page 6-29.
• The OKC: Clause Import XML File Location profile option. This specifies the
location (file directory) of the XML file. This is mandatory setup for using the
XML-based import.
2. Staging the XML import file: Copy the XML file to the location specified by the
OKC: Clause Import XML File Location profile option.
3. Import in the Validate mode: Run the Import Clauses from XML File concurrent
program in the Validate mode to identify any invalid data or errors. This is
XML File Name No Yes Name of the XML import file. The
file must be present in the location
that is specified by the profile
option OKC: Clause Import XML
File Location.
4. Review the error messages: The import program generates a report that lists the
success and error messages. The errors at this stage would primarily be related to
data format or missing required data. Review the report and correct the errors
outside the system and prepare the data for a reload.
5. Correct the errors: Review the report in the log file and correct errors in the XML
6. Import data into the library: Run the Import Clauses from XML File concurrent
program in import mode to create or update data in the library. If the program was
run previously in validation mode with no errors, then the import should go
through successfully. The Import program generates a report that lists the success
and error messages.
7. Approvals: If clauses are imported in the Draft status, they must be approved
before they are available for authoring contracts. If they are imported in the
Pending Approval status, the system automatically routes the clauses to approvers
for review and approval.
8. Purge the interface records. See: Purge Interface Records, page 6-29.
Start Date, End Date No Use the Start and End Dates to identify the range of
dates for interface records that need to be purged.
Note: If you do not specify any parameters, the system displays the
following warning message: "No parameters found for this run. This
request will delete all the records for your organization in the interface
tables."
2. Select an operating unit from the list of values. The list of values is based on the
security profile that was defined for the responsibility that you are using. For more
information, see Setting Up Operating Units, page 4-1 and Setting Up Profile
Options, page 4-5.
Note: After you save a template, you cannot change its operating
unit, even if the template is in Draft status. Make your selection
carefully when creating a template from the list of available
operating units.
3. Enter a unique name for the template. This template name must be unique within
an organization.
4. Select the intent for the template. Normally for procurement it would be Buy.
5. Accept the default start date (system date) or change the date.
7. When you create a new template, the system sets the template status to draft.
8. Link all contract templates that have the same context and purpose but are in
different languages. To do this, use the Language and Translated from Template
fields to specify the language and primary template for the contract template:
• The list of values for the Languages field displays all active
languages that have been installed in your instance.
After you save the template, the system displays the Translated Templates subtab.
If applicable, the subtab displays the following information: Name, Description,
Language, Status, and Translated From.
9. Select a layout template from the list of values. The layout template is used by the
system to prepare the template for preview.
11. Optionally, select the Global check box to make the template available for
duplication in all operating units. This is applicable only for global operating units.
For more information, see the Global Templates section, page 6-46.
12. Select the Contract Expert Enabled check box to make the Contract Expert feature
available on a business document to which the template is applied. By selecting the
check box:
• Contract Expert rules can be assigned to the template.
• All existing Contract Expert rules with the Apply to All Templates option
selected are assigned to the template automatically. For more information about
creating and assigning rules, see the Creating Rules section, page 7-9.
13. Select the Expert Clauses Mandatory check box if you want to make the clauses,
brought in by Contract Expert, mandatory on the business documents. You can
select the Expert Clauses Mandatory check box only if you first select the Contract
Expert Enabled check box.
Note: Selecting this box makes all of the Contract Expert clauses
mandatory on the contract. You cannot apply this option to only
certain clauses.
14. Select a Default Section if the template is enabled for Contract Expert.
Contract Expert places the clauses that it selects into the Default section of the
template if those clauses do not have a default section assigned to them in the
library.
15. In the Document Types region, you can assign the template to one or more business
document types. This allows the users to select this template during authoring a
contract for this document type.
16. To add a document type, click Add Another Row and enter the following
information:
• Select the Document Type from the list of values.
• Optionally, select the Default Template check box to set the template as a
default for all business documents that are authored using that document. type.
For Oracle Sourcing the valid document types are:
• RFQ
• RFI
• Auction
18. Add sections and clauses to the template. See Adding Sections and Clauses, page 6-
35.
19. If Contract Expert is enabled on the contract template, you can click the Rules tab to
view the list of rules that are assigned to the template. From the Rules table, you can
click a rule link to view the rule details.
You can also view the question sequence in the Questions table.
You can change the question sequence for the contract template on the Contract
Expert tab. For more information, see the Managing Question Sequence section,
page 7-18.
20. Add deliverables to the template. See Creating Contract Template Deliverables,
page 6-36.
• Submit. Submit the template for approval. A contract template created with no
clauses or deliverables cannot be submitted for approval.
• Validate. Run the QA check process to validate that the template is correct. If
the validation returns errors, you cannot submit the template for approval until
the errors are corrected.
• Preview. Preview the contract template to ensure that the format and layout of
the template is according to the organization's contract printing standards.
• Delete. Delete the contract template. You can only delete templates in draft or
rejected status.
• Using Language and Translated from Template features: If your company creates
contracts in multiple languages, you may want to consider using these features. The
• Clauses used in language templates: Clauses do not have languages associated with
them. So, if you are creating templates in a specific language, ensure the clauses that
you want to add to the template are also in the appropriate language.
• Default section for Contract Expert: This section is used to bring in Contracts Expert
clauses that are not already assigned to any other section. From an implementation
perspective, if you use Contract Expert to bring in the clause, a default section
should be assigned to that clause.
Also, the list of values, for the default section on the template, is based on the
sections that are created in the Contract Terms Library. For example, if you create a
new section on the template, you cannot set this section as the default section.
If a section that was assigned as the default section is later inactivated, this change
will not impact existing contracts. However, when the template is next updated, an
appropriate warning is provided to update the default section assignment.
• A contract template that is enabled for Contract Expert can also contain standard
clauses and sections. As with all contract templates, its constituent clauses and
sections are automatically added to a business document when the contract
template is applied to the business document.
• Clauses are not mandatory for templates enabled for Contract Expert. However,
they are mandatory for other templates.
5. In the Name field, enter a new name for the template. The system copies the entire
content of the source template along with the new section, subsections, layout, and
formatting details to the new template. The new template's status is draft.
4. Navigate to the Clauses subtab. In the Clauses subtab, you can define the structure
and layout of the template consisting of sections, subsections and clauses. This is
the component that contains all the contract terms. From the Clauses subtab, you
have access to the following options:
• Add Sections. You can build a hierarchy of sections and subsections and insert
clauses into this hierarchy. You can create a new section or select from a library
of sections. If you pick a section from the library, you cannot override the
section name. To add clauses, you need to define at least one section on the
template.
• Add Clauses. To add a clause, select a location for the clause in the hierarchy
and click the Add Clause button. You can insert clauses only in the context of a
section or subsection. You can search for clauses by browsing through folders,
or based on:
• Keyword
• Number
• Clause Type
• Title
• Default Section
• Provisions Only. Select the check box only if you want to search for
Provision type clauses (this field is available for templates with the Buy
intent only).
5. To make a clause mandatory in the template, select Mandatory. You cannot delete a
6. If a clause has alternate relationships defined, the Select Alternate icon is enabled.
Click Select alternate to view all the alternates for the clause on the template. If you
select an alternate clause, it replaces the original clause on the template.
7. After creating the necessary sections and subsections and inserting clauses, you can
use the Move button to change the order of clauses and sections in the template.
Select the sections or clauses that you want to move and click Move. Select the
location in the hierarchy where you want to move the selections to. Then, for
sections, use the Location field to indicate whether you want to move before, after
or within the selected location.
8. You can apply a numbering scheme to the sections and clauses structure. Use the
Renumber button to renumber the terms. Note that if you have used the Move
feature to reorganize sections or clauses, or added or removed sections or clauses,
the system will not automatically renumber the sections and clauses. You need to
use the Renumber feature to reapply the numbering scheme.
Note: You can only define deliverables for templates with the Buy
intent.
3. Enter the Deliverable Name. This is the name of the task being requested.
4. Select the deliverable type. You can define the following type of deliverables:
• Contractual Deliverable. A deliverable on a contractual document (for example,
Purchase Orders, Blanket Purchase Agreement)
5. Select the responsible Party. The responsible party is specified as the party that
fulfills the deliverable.
6. Optionally, enter the Description of the task and how to perform it.
7. Optionally, select Buyer Contact. The buyer contact is the person responsible for
performing the deliverable if you select the Buyer Organization as the responsible
party. In case the supplier company is responsible for performing the deliverable,
the buyer contact is responsible to accept the fulfillment of the deliverable.
8. Optionally, select the Requester. This is the name of the person who has requested
the deliverable. The requester usually verifies if the deliverable was completed
satisfactorily.
9. Optionally, enter any Comments. These comments are visible only to the internal
users of the buying organization.
10. Use the Due Date region to define one time or recurring deliverables.
A one time deliverable can have a fixed due date relative to a contract lifecycle
event on the document.
With a relative due date, you can identify a date that is based on a period of time
before or after a certain business document event. For example, five days after the
contract is signed, or two weeks after the RFQ is published. In this case, you need to
specify both the period of time and the event. For deliverables that have a relative
due date, the actual due date will be calculated when the contract on which the
template is applied is approved or is signed.
You are not required to provide a fixed due date for a deliverable on a contact
template. However, you are required to provide complete due date information if
the deliverable is a one time deliverable with a relative due date, or a recurring
deliverable.
All events related to business documents with the same intent as the template are
available for users to choose while defining a relative due date. Selecting a
particular business document event for a due date on a deliverable would also
make the deliverable specific to that given business document for execution (for
example, five days after the blanket purchase agreement is closed). This deliverable
is copied over and executed only on a blanket purchase agreement. If the contract
• Frequency. In combination with the repeating Type, this gives the frequency of
the repeating deliverable, such as every six weeks, or every three months.
• In case of weekly frequency events, the day of the week on which to repeat.
Example
A report needs to be sent on the fifth day of the month every three months (every
quarter) after the purchase agreement is signed. In this case:
• The event is the signing of the purchase agreement.
• Frequency is monthly.
• Interval is 3.
11. Use the Notifications region to inform the contacts about the progress of
deliverables. Notifications are sent during the lifecycle of the deliverable, after the
contract has been signed. Note that you can only define recipient for escalation
notifications here, all others are sent to contacts on the deliverables. The
notifications have a subject, a message body, and buttons to take certain actions, a
notes area, and attached documents. Notifications can be sent for a deliverable in
the following scenarios:
• Prior to Due Date. You can specify how many days, weeks, or months to wend
the notification before the due date. Recipient of this notification is the buyer
contact and supplier contact.
• Overdue. Send notifications when the due date of the deliverable is passed.
• Escalate after Due date. You can specify how many days after the due date to
send an escalation notification. You can also specify the recipient of the
notification.
12. In the Attachments region, attach any additional documents as part of the
deliverable creation that you want your trading partner to see. for example, you
might want the supplier to use a standard progress report template for this contract.
You must provide a description for the attachment to identify the nature, context,
and purpose of the attachment on the deliverable. In addition, you need to specify a
name for the attachment.
Click Add Attachments, and define your attachment as one of the following types:
• File. You can attach a file from your local desktop.
Validating Templates
Prior to submitting a contract template for approvals, you can validate the template to
identify potential errors and warnings. In addition, the system automatically runs the
validation process when you submit a template for approval. If any error conditions are
found, the template is not submitted for approval. You must fix the error conditions
and resubmit the template for approval.
The table below displays the type of validations that the system performs when you run
the validation process.
Alternate Clauses Warning This validation checks for the presence of two
alternate clauses on the same template.
Layout Template not Defined Warning This validation checks if the contract template
has a layout template assigned to it.
Invalid Variable for Warning This validation checks if the system variables
Document Type embedded within clauses used in the template
are supported for the document types in which
the contract template is used.
You can run the QA process at any stage during the template creation. The system also
runs the QA process when a template is submitted for approval.
1. Navigate to the Contract Templates page.
Navigation: Library > Contract templates tab
4. Click Go. The system performs the validation and displays the results along with
the suggested fixes.
6. If applicable, fix the error conditions and resubmit the template for validation.
6. Click Go. The system displays the template in the Portable Document Format (.pdf).
Approving Templates
You can use a standard workflow process to submit the templates for approval. You
need to request approval:
• When a new template is created.
Approvers can approve or reject the template. When a template is rejected, the system
sends a workflow notification to the author of the contract template. The reason for
rejection is also included in the workflow notification. The submitter can update the
template based on the comments and resubmit the template for approval.
1. Navigate to the Contract Templates page.
Navigation: Library > Contract templates tab
3. Select the Submit option from the Actions list of values. Alternatively, from the
search results, query the template and click the Submit button.
2. To access the Advanced search options, click the Show More Search Options link.
• Contains Clause. Search for a specific clause that is used in a template. Note
that the version of the clause is not considered in this search. If a clause has
multiple versions, the system retrieves the templates that use any of those
versions.
• Used in Document Type. Search on the document type usage for the template.
• Template Effectivity. Search for templates based on Start and End dates.
• Default Templates Only. Search for any templates that are used as the default
for document types.
• Global Only (only available for global organizations). Search for global
templates in the global organization.
4. Click Go. The system displays the templates that matched your criteria.
• description
• Instructions
To perform the keyword search, you must run the following concurrent programs
periodically:
• Synchronize Template Text Index
If the concurrent programs have not been run, the search will not provide accurate
results. Companies must decide on the frequency for running these programs on a
case-by-case basis.
Updating Templates:
You can update general information about an approved template including the
description, instruction, document type, and layout template. However, you must
create a revision to update any of the sections, clauses, or deliverables. You can update
templates in any of the following statuses:
• Draft. The template name, intent, and start date fields can be updated only in the
first version of the template in draft status. You can update all other fields and
attributes of the template
• Approved. To update an approved template for its layout and content, first you
need to create a revision. then you can make modifications to the revision, approve
it, and replace the original template.
4. select the Update icon for the template you want to update. You can perform the
following actions while updating a template:
• Add, update or delete sections and clauses.
• Submit for approval (only available for templates in draft, rejected, and revision
statuses)
• Place on hold (not available for templates in draft, rejected, and revision
statuses)
• Delete (only available for templates in draft, rejected, and revision statuses)
• Preview
Reordering Deliverables:
You can change the sequence in which the deliverables are printed.
1. Navigate to the Contract Terms page.
Navigation: Library > Contract Templates tab.
6. For each deliverable that you want to re-sequence, click the deliverable and then
7. Click Apply.
• Intent
• Start Date
Revisions need to be approved before they can be made available for use in authoring
business documents. After a template revision has been approved, it completely
replaces the original approved template. Template history of previous approved
versions is not currently supported.
1. Navigate to the Contract Terms page.
Navigation: Library > Contract Templates tab.
3. Open the template for update. The template must be in approved status.
4. Choose the Create Revision option form the Actions list of values.
5. Choose the Place on Hold option from the Actions list of values.
6. Click Go.
Deleting Templates:
You can delete templates that are in draft or rejected status
1. Navigate to the Contract Terms page.
Navigation: Library > Contract Templates tab.
6. Click Go.
• If a local organization has adopted clauses manually, only those clauses that have
been adopted and approved in the local organization will be copied over.
• If the local organization has localized clauses, the global clauses will be replaced by
approved localized clauses during copy.
• Global check box in the contract template. To create a global template, users must
select the Global check box. Once the template is approved, it becomes available in
local organizations for copy.
• Duplicate Global Templates. Local organizations can search for global templates
using the search field Owning Organization and selection the Global radio button.
Note that users can preview the global template first to ensure that the contract
terms meet their requirements. Users in local organizations cannot modify or delete
global templates.
Managing Variables
Oracle Contracts supports the use of business variables (tokens) in clause text. During
authoring, values from the business document replace the variables. Oracle Contracts
supports the following types of variables:
• System-defined variables. Represent contract document attributes such as payment
terms, customer name, and supplier name. You can embed system variables in the
clause text, which will automatically be substituted with values when the clause is
used in a contract.
• Table variable. Attach Table type variables to clause text to display product and
pricing information as part of contract terms. The actual products and prices are
sourced from the business document during contract authoring. Note that table
variables are currently supported only for Sell intent contracts. Oracle Contracts
supports the following seeded table variables:
• Lines
• Modifiers
• Price Lists
• User-defined variables. User-defined variables are tokens that the business defines
over and above the system variables. Users must provide values for these variables
as part of the contract authoring process.
Creating Variables:
Oracle Contracts provides seeded and user-defined variables:
• Seeded variables cannot be deleted or modified. Seeded variables include:
• System Variables. These variables represent contract document attributes.
As a prerequisite to defining variables, you must define any value sets they use.
1. Navigate to the Create Variable page.
Navigation: Library > Variables tab > Create Variable
2. In the Variable Name field, enter the name that you want the system to display in
clauses.
4. In the Value Set field, choose a value set from the list of values.
5. In the Intent field, choose the intent for the variable. You can choose the Buy or Sell
option from the list of values. Only clauses with the same intent can use the variable
for embedding.
6. Optionally, select the External Party Updateable check box to allow updates to the
variable by external users. Note that currently the system supports this feature only
for authoring contracts with the Buy intent. Suppliers can be required to provide
values for user-defined variables during the negotiation process. By selecting the
External Party Updateable check box, the variables are displayed in the iSupplier
• Description
• Type
2. IN the Variables Search region, you can perform searches on variables by:
• name
• Description
• Type
• Intent.
3. Click Go. The system displays the list of variables that match your search criteria.
4. Click Display Clauses to view clauses that use the variable. The system displays all
versions of t clause that use the specific variable.
3. Click the Update button to open the variable for update. You cannot update the
variable name or intent. Also, once the variable has been used in a clause, you can
only update the variable description and select the Disable check box. You must
create a new variable if you want to change the value set assigned to a user-defined
variable after the variable has been used in a clause
5. Select the Disable check box if you want to prevent further use
Managing Sections
Sections are headings under which you organize contract clauses. The headings provide
structure and organization to a printed contract document. You can define sections that
can be used in authoring templates and contracts. Previously defined sections are not
required for creating contract templates since you can also define template-specific
sections when creating a template.
Creating Sections:
1. Navigate to the Create section page.
Navigation: Library > Sections tab > Create Section button.
• Name
• Description (optional)
• Effective From
• Effective To (optional)
3. Click Apply to save the new section and close the Create Section page.
Note: If you end date a section, it will not impact existing contract
templates of business documents. However, the inactive section
cannot be used to author new contract templates or business
documents.
• Code
3. Click Go. The system displays the sections that match your search criteria.
Updating Sections:
You cannot update a section name after it has been saved. End dating a section only
impacts clauses, contract templates, and contracts authored in the future. The system
continues to use the end-dated sections if sections have already been used in a contract
template or contract. However, in the case of contract templates in draft status, the
system provides an error message when users view the section details from the
template.
1. Navigate to the Sections page.
Navigation: Library > Sections tab
4. Make the necessary changes. You can change the Description and the Effective To
fields.
Note: You must manage Sections using the Create and Update
Sections pages in Oracle Contracts. Sections sshould not be created
or modified using the Oracle Applications Foundation Lookups
module.
Managing Folders
You can organize clauses under different folders for easier retrieval. After creating
folders, you can use the Update Folders feature to organize clauses in different folders.
You can assign the same clause to more than one folder.
Creating Folders:
Folders are unique within an organization. Organizations that use the Contract Terms
Library must create their own folders. When reviewing the clauses for adoption, folders
that are created in a global organization are not copied over or created in the local
organization.
1. Navigate to the Create Folder page.
Navigation: Library > Folders > Create Folder
Updating Folders:
You can update folders by changing the folder name or description, and adding or
removing clauses.
1. Navigate to the Folders page.
Navigation: Library > Folders tab
3. In the Result section, click the Update icon for the folder you want to change.
3. In the Result section, click the Update icon for the folder that you want to add
clauses to.
5. Enter the search criteria for the clause. Note that you can add clauses of any status
to a folder. The system does not maintain references to a specific version of a clause
when it is added to a folder. When you browse a folder to select clauses on a
contract template or contract, the appropriate version will be selected on the
template or the contract.
3. In the Result section, click the Update icon for the folder that you want to add
clauses to.
4. In the Clauses section, select the checkbox for the clause that you want to remove.
5. Click Remove.
Deleting Folders:
1. Navigate to the Folders page.
Navigation: Library > Folders tab
3. In the Result section, click the Delete icon for the folder that you want to add
clauses to.
Overview
The Contract Expert feature enables organizations to define rules for creating contracts
and reporting policy deviations.
• Policy Deviation Rules: These rules can capture and report changes in business
terms on business documents as deviations from corporate policy. As a result of
negotiations on business documents, organizations may negotiate terms that exceed
preapproved company policies and regulatory limits. For example, as a policy, all
customers are allowed payment terms of Net 45. However, the contract
administrator may agree to payment terms of Net 60 on a specific business
document. This deviation should be brought to the attention of contract approvers
to ensure that all deviations from corporate standards are approved in accordance
with the approval policies. The Policy Deviation Rules feature helps you define all
such corporate policies and identify any variations from these policies on contracts.
Prerequisites
If the response type to a question is Numeric, you must set up constants.
If the response type to a question is List of Values, you must set up value sets with the
following properties:
• Format Type = Char
Steps
To create user questions:
1. Navigate to the Create Questions page.
Navigation: Contract Expert > Questions tab > Create Question button
4. In the Intent field, select the intent for the question: Buy or Sell.
5. In the Question Prompt field, enter the question that you want to appear at run time
for the users to respond to.
6. Use the Disable check box to disable the question to prevent it from being used in a
rule. The Disable check box is available only in Update mode.
7. Select a response type from the list of values. The system supports the following
response types:
• Yes and No: At run time, the response appears as a drop-down list with two
values, Yes and No. Select the appropriate response.
• Numeric: The response is a numeric value that should be provided at run time.
• List of Values: This option provides an enumerated list of values as its response.
For example, possible responses to the Contract Type question could include
Fixed Price, Cost Plus Pricing, and Services only Pricing.
8. If in the Response Type field you selected the List of Values option, the system
displays the Value Set field.
Enter a value set or use the Search for Value Set icon to search for and select a value
set.
Steps
To search for questions:
1. Navigate to the Questions page.
Navigation: Contract Expert > Questions tab
• Description
• Question Prompt
• Intent
You can also search on the following fields:
• Value Set
Note: The Value Set search provides only the value sets that
have been used in the questions, not all the value sets that were
created in the system.
• Response Type
3. Click Go.
The system displays the questions that match your search criteria.
Updating Questions
You can make changes to the existing questions. However, you cannot update Name,
Intent, Response Type, and Value Set if the question is used in a rule. You can update
Steps
To update questions:
1. Navigate to the Questions page.
Navigation: Contract Expert > Questions tab
Managing Constants
You can define numeric constants in Oracle Contracts. Numeric constants can be used
in Contract Expert rules that use numeric conditions.
For instance, you may want to define a rule as follows:
• Condition: All contracts for which the contract amount is greater than $1,000,000.
Define a constant called Contract Amount Threshold. In the constant, provide a value of
$1,000,000.
Then, when you create the rule, you simply use the Contract Amount Threshold
constant instead of entering the amount $1,000,000 on the rule. This way, if the
threshold is increased later to $2,000,000, you need to update only the constant
definition instead of every rule that uses this condition.
This section covers the following topics:
• Creating Constants, page 7-7
Creating Constants
You must provide the intent for the constant, that is, Buy or Sell. A constant name must
be unique for a given intent.
After they are defined, constants are available across all operating units that use the
Contract Terms Library.
Steps
To create constants:
1. Navigate to the Create Constant page.
Navigation: Contract Expert > Constants tab > Create Constant button
Steps
To search for constants:
1. Navigate to the Constants page.
Navigation: Contract Expert > Constants tab
• Description
Note: You can perform a blind search. You can also enter the single
wildcard character % as your search parameter.
3. Click Go.
The system displays the constants that match your search criteria.
Updating Constants
The name and intent of a constant cannot be changed if the constant is used in a rule.
Use the following steps to update a constant.
Steps
To update constants:
1. Navigate to the Constants page.
Navigation: Contract Expert > Questions tab
• Delete: You can delete a constant if it is not used in a rule. To delete a constant,
click the Delete icon. The system displays the Warning page. Click Yes to
confirm.
Managing Rules
Contract Expert rules are created based on Buy or Sell intent for a specific organization.
These rules can be applicable to all templates of one organization or can be associated
with specific templates.
This section covers the following topics:
• Creating Rules, page 7-9
Creating Rules
To define a rule, you can enter multiple values for a single condition. The system
displays a search page so that you can select multiple values and add to the rule. Use
the following steps to create a rule.
Steps
To create rules:
1. Navigate to the Create Rule page.
Navigation: Contract Terms Library > Contract Expert > Rule tab > Create Rule
button
For more information about the rule types, see the Contract Expert - Overview
section, page 7-1.
• Active (in Progress): When the rule is submitted for activation, the status of the
• Active: The status of the rule is changed to Active when it is available for use in
Contract Expert.
• Disabled (in Progress): This is the status of the rule while Contract Expert is
performing the process of disabling the rule (when the disabled rule is exported
to Oracle Configurator).
• Revision: When you update an Active rule, its status is changed to Revision.
10. In the Type field, select one of the following condition types:
• Clause: The Clause type is available only for Clause Creation rules. Use this
type if the rule requires a Contract Expert selected clause to be present in the
business document. For instance, select the Clause type to create a rule to bring
in Clause B if Clause A, which was selected by Contract Expert, is present in the
document.
• Variable: You can use the Variable type to create Clause Creation and Policy
Deviation rules.
Use this type for the Clause Creation rules if a system variable drives the clause
selection on a business document. For instance, bring Clause A if the system
variable Payment terms = Net 30 is in the document.
For Policy Deviation rules, use this type if a system or user-defined variable
drives the policy deviation for a business document. For instance, if Contract
Amount is less than $1,000,000, then the standard for Payment Terms is Net 30.
Or if the non-solicitation remedy is more than $25,000, then the standard for
Termination Days is 30 days.
• Question: Use this type if a user question should drive the clause selection or
policy deviation on business documents. For instance, bring Clause A if the
answer to Question B is Yes.
11. Select a name in the Name field: the available options are based on the condition
type that you selected in the Type field:
• Clause: The Name field is not available for this option.
• Variable: The system provides access to a search page for both seeded and
user-defined variables.
• Question: The system provides access to a search page for questions that are
defined in the Contract Expert.
12. Select an operator in the Operator field. Operators provide the logic in defining a
condition, for instance, Payment terms IS Net 30.
To create a rule, Oracle Contracts supports the following operators:
• Logic Condition operators
• IS
• IS NOT
• =: Equal to
• Not equal to
13. Depending on the Type and other options, you must select one or more values in
either the Value or Update Values field. For example:
• For condition Type = Clause, use the Update Values field.
• For condition Type = Question with response type of Numeric or List of Values,
use the Update Values field.
You can click the Show Details link to view the selected values for Question and
System Variable conditions, and clause name for Clause conditions.
14. Click the Remove icon if you want to delete a condition from a rule.
15. Use the Results region to define the results if the defined conditions are met. The
Results region is available only for Clause Creation rules.
In the Results region, you can select clauses that must be brought in and ask the
user additional questions on a business document.
16. In the Results - Clauses region, click the Add Clauses button to add another Result
row to the rule.
The Results - Clauses Table displays the Clause Title and Description for the clauses
that you have chosen.
17. In the Results - Clauses Table, you can access the following:
• Show Details: The system provides a hide or show option to display general
information about one clause or all the clauses.
• Remove icon: You can use the icon to delete a result row from the rule.
18. Use the Question Table of the Results region to select one or more additional
questions that should be asked at run time if the conditions are met.
• Question Prompt: The system displays the question prompt details from the
• Delete icon: You can delete a question row from the rule.
• Add Questions button: Click this button if you want to add another question to
the result row of the rule.
19. Use the Contract Template Assignments region to assign the rule to one, many, or
all contract templates. You can assign contract templates in Draft or Approved
status to a rule. Only contract templates that are Contract Expert-enabled and
belong to the same intent as the rule will be available to be assigned to the rule.
Note: Even though you can assign templates in any status to a rule,
because only approved templates can be used to author business
documents, the rules are effective only when applied to approved
templates.
• To select and assign one or more contract templates, click the Add Template
button.
• Cancel: The system closes the Create Rule page without saving any changes.
• Save: The system validates the rule but does not close the page. If the rule fails
validation, the system displays an error message.
• Apply: The system validates the rule and displays the Rules Summary page. If
the rule fails validation, the system displays an error message.
• Apply and Add Another: The system validates the rule that was created and
opens a new Create Rule page. If the rule fails validation, the system remains in
the page and displays an error message.
Steps
To search for rules:
• Name
• Intent
• Status
3. Click Go.
The system displays the rules that match your search criteria.
Activating Rules
You can activate draft rules and make them available for use in Contract Expert.
Prerequisites
You must assign at least one contract template to the rule, but the contract template
need not be in the Approved status.
Steps
To activate rules:
1. Navigate to the Rules page.
Navigation: Contract Expert > Questions tab
3. Click Activate.
The Active Rules: Confirmation page appears. This page provides validation
information on rules that are eligible to be published and those rules that cannot be
published due to validation problems.
The validations include the following:
• The rule contains invalid clauses (that is, clauses that are not in the Approved
status) in conditions or results.
• The rule contains questions with invalid value sets. That is, the value set is not
valid either because it was set up incorrectly or because a value set has been
removed. For details of setting up value sets, see the prerequisites in the
Creating User Questions section, page 7-3.
• Values that are used in rules are invalid. For instance, the values that are used
in a value set are no longer valid.
4. If validation errors occur, you cannot complete rule activation. You must first
correct the errors, and then restart the Rule Activation process.
5. When the Activate Rules: Confirmation page shows only rules that are ready to be
activated, click Finish.
This generates the following processes:
• The system submits the Contract Expert: Activate Rules concurrent program,
and the status of the rule is changed to Active (in Progress).
• If the program finishes successfully, the status of the rule changes to Active.
• If any system errors are encountered during the activation process, the system
stops the concurrent program, and the status of the rule remains Active (in
Progress). The rule will be picked up for disabling the next time that you select
other rules to be activated.
• Alternatively, you can run the Contract Expert: Activate Rules concurrent
program manually from the Contract Terms Library Administrator
responsibility.
Disabling Rules
You can disable active rules and make them unavailable for use in Contract Expert.
Steps
To disable rules:
1. Navigate to the Rules page.
Navigation: Contract Expert > Rules tab
3. Click Disable.
When you choose to disable a rule:
• The system runs the Contract Expert: Disable Rules concurrent program, and
the status of the rule is changed to Disabled (in Progress).
• If the program finishes successfully, the status of the rule changes to Disabled.
• If any system errors are encountered during the disabling process, the system
• Alternatively, you can run the Contract Expert: Disable Rules concurrent
program manually from the Contract Terms Library Administrator
responsibility.
Updating Rules
The steps for updating active rules are:
Steps
To update rules:
1. Navigate to the Rules page.
Navigation: Contract Expert > Rules tab
3. Update Rules: If you click the Update icon, the system changes the status of the
active rule to Revision; if you update a draft rule, the status remains Draft. The
system allows updates to the conditions, results, and template assignments.
However, you cannot update the following fields:
• Operating Unit
• Rule Type
• Name
• Intent
4. Delete Rules: You can delete only rules in the Draft status.
5. Duplicate Rules: You can duplicate rules within your organization. The system
creates a new rule. You must provide a new name and description for the rule. The
system validates the rule when you click the Save, Apply, or Apply and Add
Another button. The contract template assignments are also copied during the
Steps:
To manage question sequence:
1. Navigate to the Rules page.
Navigation: Contract Expert > Rules tab
2. To view or reorder the question sequence, select a contract template to use to view
or update the sequence and then click the View Question Sequence button to open
the View Question Sequence page.
3. Use the Contract Template field to search for and select a template. The system
displays the default sequence of questions for the selected template.
In the Questions area of the View Question Sequence page, the column Displayed
During Authoring, when selected, indicates the availability of questions during
document authoring. The questions that are not selected belong to inactive rules. To
enable these questions, you must activate the rules.
4. To change the question sequence, click the Reorder button. The system displays the
Reorder Question page. To indicate a dependant question, the system shows a
character (-) next to the question. Organize the dependent questions in the desired
order within the main question.
7. Run the Contract Expert: Synchronize Templates concurrent program to publish the
Overview
When you use Contract Expert, in the process of authoring a business document, you
typically are asked a series of questions.
Your answers to the first-level questions may cause further questions to appear in the
Contract Expert session. These extra questions are dependent questions. In turn,
answering these dependent questions can cause lower-level dependent questions to
appear, up to a maximum of five levels.
Ultimately, the objective of the questions is to specify which clauses are to be added to
the business document.
• In the Results region, specify one or more clauses, but no additional questions.
When you answer the question in a Contract Expert session during contract authoring,
Contract Expert may add the clauses that are specified in the rule results, but no further
questions will appear.
• Create the rules. Which rule is created first does not matter.
• Use Contract Expert on the business document to bring in additional clauses, based
• You may need to provide additional responses in Contract Expert to drive further
clause selection.
• All of the Contract Expert-recommended clauses are brought into the business
document and organized under appropriate sections.
• You can periodically run Contract Expert on the business document to ensure that
the document contains all the appropriate clauses based on the latest set of business
rules.
For more information about using Contract Expert on business documents, see the
online help topics in Oracle Contracts, Oracle Procurement Contracts, and Oracle Sales
Contracts.
Validations - Overview
This appendix lists all validations that are provided by the system during validation of
contract templates and business documents.
QA Validations A-1
B
Workflows
Workflows - Overview
The following tables list the new workflows for Contract Terms Library and Repository.
Approval Workflows
The following table lists the Oracle Purchasing approval workflow functions that you
can utilize for routing the purchasing document for special approvals based on contract
terms.
Workflows B-1
Condition Function Name Mode Parameter Name Return Value
Checked
• ARTICLES_CH
ANGED: Only
clauses
changed from
the contract
template.
• DELIVERABLE
S_CHANGED:
Only
deliverables
changed from
the contract
template.
• ALL_CHANGE
D: Both clauses
and
deliverables
changed from
the contract
template.
• NON_STAND
ARD: Contains
non- standard
clauses.
• CONTRACTU
AL: Contains
contractual
deliverables
only.
• INTERNAL:
Contains
internal
deliverables
only.
• ALL: Contains
contractual and
internal
deliverables.
Workflows B-3
Condition Function Name Mode Parameter Name Return Value
Checked
• ONLY_STAND
ARD: Only
standard
clauses are
amended.
• NON_STAND
ARD:
Non-standard
clauses are
amended
• NONE: No
deliverable is
amended.
• CONTRACTU
AL: Only
contractual
deliverables are
amended.
• INTERNAL:
Only internal
deliverables are
amended.
The following table lists the Oracle Sourcing Approval workflow functions that you can
utilize for routing the sourcing document for special approvals based on contract terms.
• ARTICLES_CH
ANGED: Only
clauses
changed from
the contract
template.
• DELIVERABLE
S_CHANGED:
Only
deliverables
changed from
the contract
template.
• ALL_CHANGE
D: Both clauses
and
deliverables
changed from
the Contract
template.
Workflows B-5
Condition Function Name Mode Parameter Name Return Value
Checked
• ONLY_STAND
ARD: Contains
standard
clauses only.
• NON_STAND
ARD: Contains
non- standard
clauses.
• CONTRACTU
AL: Contains
contractual
deliverables
only.
• INTERNAL:
Contains
internal
deliverables
only.
• CONTRACTU
AL_AND_INT
ERNAL:
Contains
contractual and
internal
deliverables.
• ONLY_STAND
ARD: Only
standard
clauses are
amended.
• NON_STAND
ARD:
Non-standard
clauses are
amended.
Workflows B-7
Condition Function Name Mode Parameter Name Return Value
Checked
• NONE: No
deliverable is
amended.
• CONTRACTU
AL: Only
contractual
deliverables are
amended.
• INTERNAL:
Only internal
deliverables are
amended.
• SOURCING:
Only sourcing
deliverables are
amended.
• CONTRACTU
AL_AND_INT
ERNAL:
Contractual
and internal
deliverables are
amended.
• CONTRACTU
AL_AND_SOU
RCING:
Contractual
and sourcing
deliverables are
amended.
• SOURCING_A
ND_INTERNA
L: Sourcing and
internal
deliverables are
amended.
Workflows B-9
C
Concurrent Programs
• QA Validation Errors:
Purges all validation
results (errors or
warnings) that are
generated during
contract template or
business document
approvals.
• Standard Deviations
Date: Purges all
deviations data that is
generated when the
Contract Deviations
report is run (either by
the system or by the user)
on a business document.
• Contracts Workbench:
Purges the oldest items in
the Recent Contracts bin.
Responsibility
The seeded responsibilities are:
• Contracts Workbench Administrator
To create new responsibilities for the Contract Terms Library, use the following:
• Root Menu: OKC Contracts Application HTML Root Menu
To create new responsibilities for the Contracts Workbench, use the following:
• Root Menu: OKC Contract Repository Root Menu
Name Description
Document Types
The following table displays the seeded document types which can be associated to
contractual terms:
Layout Template
To print contract documents and the Deviations reports, Oracle Procurement Contracts
provides seeded layout templates in Oracle XML Publisher. The layout templates are
stored in the XML Publisher Layout Template repository.
The following table lists the seeded layout templates in Oracle Procurement Contracts:
The following table lists the seeded layout templates for the Deviations Report:
Contract Deviations Sourcing RTF The main Rich Text Format template for
Template Sourcing.
Contract Deviations RTF The main Rich Text Format template for
Purchasing Template Purchasing.
Contracts RTE Handler XSL-FO Sub template for handling HTML tags
Template used in Rich Text Editor for contracts.
Notifications
The following table lists the different types of notifications that are seeded in Oracle
Contracts:
Seeded Notifications
Procurement Notifications
The following table lists the notifications seeded for Oracle Procurement Contracts:
Signature Buyer responding to contract after Notifies the supplier that the buyer has
supplier signature responded to the contract.
Signature Supplier rejects the contract Notifies the buyer that the supplier has
rejected the contract.
Signature Supplier signs the contract Notifies the buyer that the supplier has
signed the contract, and the contract is
now requires the buyer signature.
System Variables
The following tables display the:
• Seeded system variables in Oracle Purchasing and Oracle Sourcing.
• B - Organization, Legal Entity, Supplier Site, Ship-to, and Bill-to addresses are a
concatenation of the address components. For example, Address Lines, City, State,
Zip Code, and Country.
• Note that Organization, Legal Entity, Ship-to, and Bill-to address formats follow the
HR Locations address format. However, Supplier Site address format follows the
PO Vendors address format.
Header Level
PO PO document PO Number A A A
Document number
Number
• B - Organization, Legal Entity, Supplier Site, Ship-to, and Bill-to addresses are a
concatenation of the address components. For example, Address Lines, City, State,
Zip Code, and Country.
Header
Level
Lookup Codes
OPEN Open
Function Security
The following table lists the security functions provided by Oracle Procurement
Contracts and the specific functionality that these functions and sub-menus would
enable in Oracle Purchasing, Oracle Sourcing, and Oracle iSupplier Portal:
• Manage Deliverables
option in the Action list
for a purchase order
• Manage Deliverables
option in the navigator
menu
• Update Deliverable
Status button in the
Terms window in Forms
The following is an example of a contract terms XML document. This XML document is
a shortened version of the preview XML document that is also available in the Contract
Terms Data Definition.
<?xml version="1.0" encoding="UTF-8" ?>
<ContractTermsAM type="AM" name="ContractTermsAM1">
<VariablesMetadataVO type="VO" name="VariablesMetadataVO">
<VariablesMetadataVORow>
<ArticleVersionId>6319</ArticleVersionId>
<VariableCode>EXTERNAL_CONTRACTUAL_DEL</VariableCode>
<VariableType>D</VariableType>
<DocType>TEMPLATE</DocType>
<ViewObjectName>DeliverablesForExternalContractualExpVO</ViewObjectName>
<ExternalYn>N</ExternalYn>
</VariablesMetadataVORow>
<VariablesMetadataVORow>
<ArticleVersionId>6313</ArticleVersionId>
<VariableCode>1022</VariableCode>
<VariableType>U</VariableType>
<ExternalYn>N</ExternalYn>
</VariablesMetadataVORow>
</VariablesMetadataVO>
<ParametersVO type="VO" name="ParametersVO">
<ParametersVORow>
<PrintAmendments>0</PrintAmendments>
<DocumentName>Example Contract Template</DocumentName>
</ParametersVORow>
</ParametersVO>
<SectionsArticlesToPrintVO type="VO" name="SectionsArticlesToPrintVO">
<SectionsArticlesToPrintVORow>
<UniqueId>SECTION14394</UniqueId>
<StructureLevel>1</StructureLevel>
ContractTermsAM
The ContractTermsAM element is the top-level node (root node) of the Contract Terms
XML for contract templates.
The following table displays the nodes for the ContractTermsAM element:
ContractTermsAM Components
The following sections describe the components of the ContractTermsAM:
SectionsArticlesToPrintVO
This XML element contains the text of sections and clauses for the contract terms. The
SectionsArticlesToPrintVO is a child element of the ContractTermsAM element. It only
contains SectionsArticlesToPrintVORow elements. Each of these elements contains
DeliverablesAM
This XML element contains the deliverables for the contract terms. The DeliverablesAM
element is a child element of the ContractTermsAM and may contain the multiple child
elements. The child elements correspond to the deliverable variables supported by
Oracle Contracts.
The following table displays the child elements for the DeliverablesAM element:
Each of these elements may have multiple child elements witch has the same name and
the added suffix "Row". For example, the DeliverablesAllForBusinessDocExpVO
element has DeliverablesAllForBusinessDocExpVORow child elements.
Each of these elements contains the data for one deliverable.
The following table displays the child elements for each of these DeliverablesRow
elements:
VariablesMetaDataVO
The VariablesMeatDataVO contains variable values (for user variables) or the XPath to
the element that contains the data for the variable. Typically contract templates do not
contain variable values. The only exception is deliverable variables, since deliverables
can be associated with templates. The variable section is automatically resolved by the
code in the stylesheet, and there should be little need to customize this code.
The VariablesMetaDataVO is a child element of the ContractTermsAM element. It may
only contain multiple VariablesMetadataVORow elements. These child elements
describe the variables that may be found in the contract template.
ArticleVersionId Yes Long This field is only important for user variables
since user variables may have different
values for different clauses. The identifier of
the clause version that has this value.
• D: Deliverable
• S: System
• U: User
• T: Table
CatId Yes String The CatId of the clause that contains this
value for the user variable.
AttributeName Yes String The name of the element that contains the
variable. The element is relative to the XPath
of the "ViewObjectName"
ParametersVO
The ParametersVO contains information about how to print the document. The
ParametersVO element is a child of the ContractTermsAM and contains one
ParametersVORow child element.
The following table displays the child elements that the ParametersVORow element
contains:
• Draft
• Pending Approval
• Approved
• Rejected
Organization Name Yes String Name of the organization that owns the
document.
Adopt As-Is
An option that allows a local organization to adopt a global clause without
modification. However, the clause still goes through formal approvals in the local
organization.
Amendment
Any changes made to the terms of a signed contractual business document. These
changes could be made to the contract language or to the deliverables.
Auto-Adoption
Allows organizations to use global clauses automatically, without formal approval
processes.
Business Document
A document generated in the procurement contracting business flows. For example,
Standard Purchase Order, Blanket Purchase Agreement, and RFQ.
Clause
Business or legal language that constitutes the terms of a contract. Note that in earlier
releases of Oracle Contracts, clauses were referred to as articles.
Contract
A binding agreement between two or more individuals or organizations that describes
the obligations and rights of the parties and is enforceable by law.
Contract Document
Any document that is used for the purpose of or incidental to a contractual negotiation
or execution. Examples of contract documents include, signed contract image and
supporting documents.
Contract Template
A document containing standard (boilerplate) terms that organizations use to rapidly
Glossary-1
create new contracts with pre-approved legal language.
Contract Terms
See: Terms and Conditions., page Glossary-5
Contract XML
The XML document that represents a contract's terms. Oracle Contracts uses this
document to generate the contract document in PDF using a layout template configured
by the user.
Contractual Deliverable
A task that is part of the contract's terms, and that one of the parties needs to perform
during the life of the contract.
Deliverable
A task that needs to be performed as part of the execution of the contract, either once or
in a repeating fashion. Deliverables are part of the terms of a contract.
Deliverable Variable
A variable that captures the list of deliverables applicable to a contract. The list appears
in table format on a printed contract.
Document Type
A categorization of business documents, in the Contract Terms Library, to identify
documents that are generated in the procurement contracting business flows.
Execute a Contract
Means to fulfill the commitments under the contract. Note that some organizations use
this term to describe the act of signing of a contract.
External Party
Represents all business units or organizations with which a contract can be entered into.
In the application, External Party specifically identifies supplier as understood in the
procurement flows.
Glossary-2
Global Organization
An operating unit in an organization that sets contract standards for all operating units
worldwide.
Insert by Reference
Allows users to print only a reference to the full clause text on a printed contract
without printing the entire text. The text of a clause with this attribute is standard and
publicly available. A reference to the location of the full text is sufficient on the printed
document. This is typically used in procurement contracts of U.S. government agencies.
Intent
Determines the usage of contract.
Internal Deliverable
A task that the internal party needs to perform but is not part of the terms. Internal
Deliverables typically are fulfilled to augment the contractual deliverables and stay
compliant with contract terms.
Internal Party
Internal party represents a business unit or organization that has implemented and uses
the Oracle Procurement Contracts solution.
Keyword Search
An easy method to search for clauses and contract templates in the Contract Terms
Library. The search is performed across several attributes, such as Description, Title,
and Clause Text.
Layout Template
A document that defines the layout of contract templates or contract terms on other
business documents. The layout template is designed using the following file types:
• XSL-FO
Local Organization
An operating unit of a larger organization. Local organizations subscribe to global
clauses approved by the global organization, and adopt or localize them for use in local
contracts., page Glossary-4, page Glossary-1
Glossary-3
Localization
The process by which a local organization uses Oracle Contracts to modify global
clauses to enable the use of clauses in that organization.
Negotiation Deliverable
A deliverable that needs to be performed during the negotiation phase of the contract. It
is authored and managed in Oracle Sourcing.
Numbering Scheme
A definition of the numbering format that numbers clauses and sections in a printed
contract.
Party
Refers to any business unit or organization representing both sides of a contract,
whether internal or external.
PDF
(Portable Document Format) An open printable-document standard that Adobe
Systems, Incorporated developed and that Oracle Contracts uses as the format for
printed contracts. Use the Adobe Acrobat application to view and print PDF
documents.
Provision
Used in the Federal Government contracting. A provision is a type of clause that is used
only in negotiations and is dropped when the negotiation is converted to a contract.
Redline Comparisons
Compares and highlights the differences between two pieces of clause text. Oracle
Contracts offers redline comparisons between two versions of a standard clause,
between a non-standard clause and its original standard clause, and more.
RTF
The Rich Text Format (RTF) specification provides a format for text and graphics
interchange that can be used with different applications, output devices, operating
environments, and operating systems.
Glossary-4
Section
Section is a categorization that helps group clauses under a logical common heading.
System Variable
A variable whose value is set by Oracle Procurement Contracts and represents an
attribute of the purchasing document. For example, PO Amount, Payment Terms, and
PO Number.
Table Variable
One of several variables that capture certain types of structured information, such as
items and price lists, in sales contracting flows.
Template
See: Contract Templates or Layout Template, page Glossary-3, page Glossary-1
User-Defined Variable
Variables that an organization defines over and above the system variables. Users must
provide values for these variables as part of the contract authoring process.
Variable
A piece of information that is generated by the system or filled in by the user, and can
appear inside a clause. Variables often represent a negotiated term or a field from the
business document.
XML
(eXtensible Markup Language) An industry standard for formatting data to allow easy
exchange and processing of business documents. Oracle Contracts uses Contract XML
documents to format contracts for previewing and printing.
XSL-FO Stylesheet
(eXtensible Stylesheet Language - Formatting Objects) An industry standard for
formatting XML documents. Oracle Contracts uses XSL-FO stylesheets to format XML
data documents for printing.
Glossary-5
Index
Index-1
muli-org access control, 4-4 XML data file method, 6-27
Contract Terms Setup window, 4-3 Importing Clauses, 6-19
Create Constant page, 7-7 Importing Clauses from External Sources, 4-21
Create Questions page, 7-3
Create Rule page, 7-9 K
Key Features, 1-1
D
Defining security profiles, 4-4 L
Dependencies, 2-1
Layout Templates, 4-13
conditional, 2-2
create, 4-13
mandatory, 2-1
document types, 4-15
Descriptive Flexfields, 4-16
stylesheet, 4-15
Lookup codes, 4-12
E Lookup Codes, D-28
Enabling Keyword Search, 4-12
Execute and Monitor Contracts, 5-28 M
clause usage, 5-29
Managing Clauses
deliverables, 5-28
across operating units, 6-6
supplier contact, 5-29
Managing contract expert constants
creating constants, 7-7
F Managing contract expert questions, 7-3
Find Organization window, 4-3 creating user questions, 7-3
Flexfields, 4-16 searching for questions, 7-5
Folders, 4-21 Managing contract expert rules, 7-8
Function Security, 4-19 creating dependencies between questions, 7-19
repository functions, 4-20 Managing standard clauses
searching for clauses, 6-12
G Master-Child Agreements, 5-21
multi-org access control
Global Clauses
for contract terms library, 4-4
adoption by local operating units, 6-7
Multiple Organizations Access Control, 4-4
approving in local operating units, 6-10
creating, 6-8
reviewing for adoption, 6-9 N
viewing adoption status, 6-11 Negotiate Contracts, 5-10
Numbering Schemes, 4-21
I
Implementation Tasks, 3-1 O
Oracle iSupplier Portal, 3-1 Operating units, 4-1
Oracle Purchasing, 3-1 Organization hierarchy, 4-5
Oracle Sourcing, 3-1 Organization Hierarchy page, 4-5
steps, 3-1 Organizations For Contract Terms, 4-1
Importing clauses Overview, 1-1
methods of, 6-19
open interface method, 6-25 P
purge interface, 6-29
Index-2
profile option categories
contracts security, 4-6 V
contracts setup, 4-7
Value Sets, 4-18
Profile Options, 4-5
Variables, 4-21
Profile Options Categories, 4-5
user-defined, 6-21
Purchasing Document Format, 4-16
Q
Questions
setting up, 7-19
setting up dependent , 7-19
setting up independent , 7-19
Question sequence
managing, 7-18
Questions page, 7-5
R
Renegotiate Contracts, 5-31
Rule page, 7-13
S
Searching For Clauses, 6-12
browsing, 6-14
keywords, 6-14
searching, 6-12
Sections, 4-23
Security profiles, 4-4
Setting up approval rules
for contract terms library, 4-11
Setting Up AutoNumbering, 4-17
Setting up contract expert
for contract terms library, 4-24
Setting Up Layout Templates, 4-13
Setting up lookup codes
for contract terms library, 4-12
Setting Up Numbering Schemes, 4-21
Setting up operating units
for contract terms library, 4-1
Setting up organization hierarchy, 4-5
Setting Up Organizations, 4-1
Setting Up Profile Options, 4-5
Setting Up Purchasing Document Format, 4-16
Setting Up Value Sets, 4-18
Standard Clauses, 4-23
Index-3