Oracle Purchasing – Line Types

Oracle Purchasing – Line Types

Line Types:

The main feature of Line type in Oracle purchasing is to differentiate the orders for goods, services or outside processing orders. 

When you enter a line on a purchasing document and choose a line type, Purchasing automatically displays the default information that is defined here for the line type.

Line type controls the type of various documents like Purchase Orders, Requisitions. Default Line Type can be selected for these documents. When any of these documents is created, the line type is part of the item information. Line type can also be overridden for each document line.

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India Local Purchasing > Oracle Purchasing > Setup > Purchasing > Line Types

Name:

Define a Line Type Name

Category:

Enter the default purchasing Category for items with this line type. This purchasing category can be overridden on purchasing document lines.

Description:

Define a Description for the Line Type

Unit:

Enter the default Unit of measure for items with this line type. You must enter a default unit when you use the Amount value basis for your line type. This unit of measure can be overridden on the purchasing document lines only for non-Outside Processing line types with Quantity value basis.

Value Basis: This field cannot updated after the work is saved.

Amount: Receive items by amount. You cannot change the unit of measure and unit price on purchasing document lines.

Quantity: Receive items by quantity. Outside Processing line types must have this value basis.

For both amount and quantity based line types, you can specify default values for category, unit of measure, and whether you require receipt. 

For quantity based line types, you can specify the unit price, but for amount based line types the unit price defaults to 1. 

For quantity based lines, you can specify whether the line type is used for outside processing.

Price:

Enter the default Unit Price for items with this line type. Purchasing automatically enters a unit price of 1 when you use the Amount value basis and prevents from updating this price when you create your line type. This unit price can be overridden on purchasing document lines only when with Quantity value basis line types.

Receipt Required:

Define yes or no to default on the purchasing document shipments with this line type. This default can be overruled when entering the shipment.

Outside Processing:

This Outside Processing to restrict this line type to purchasing outside processing. Also, when outside processing line type is used on a purchasing document, then the choices for the item are limited to outside processing items. This check box can be enabled only if the value basis is Quantity and using Work in Process.

Inactive Date:

Enter the Inactive Date on which the line type is no longer usable.

Types of Line types & Usuage:

S no	Value Basis	Purchase Basis	Line Type Usage
1	Quantity	Goods	This Line types is used when we know quantity and price of the item we are going to purchase. It can be also used for outside processing. Ex: If a laptop of 1000 dollars is to be purchased. Here you know the quantity and unit price.
2	Amount	Services	This Line type is used when you want to purchase services. Here while setting up price automatically became 1 and you can define unit which defaults on PO. Ex: Suppose you want to buy a consulting services to support oracle apps project for $1000 service.
3	Fixed Price	Service	This Line Type is available when service procurement is implemented. It is used to buy a fixed price general office service
4	Fixed Price	Temp Labour	This Line Type is used when service procurement is implemented. It’s where temp labour is fixed price like office cleaning.
5	Rate Based	Temp Labour	This Line Type is used when service procurement is implemented. It used to if you want to order temporary labor service by per unit rate. For this you need to define Job and then you can select UOM like day, hour or week and mention the price. For example need temporary clerk for 1 day or 1 hour or week.