Oracle Supply Chain Managment Handbook: Inventory Glossary

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pending costs: The future cost of an item, resource, activity, or overhead. Not used by cost transactions. See frozen costs.

phantom assembly: An assembly Work in Process explodes through when it creates the bill of material for a job or schedule. A particular assembly can be a phantom assembly on one bill and a subassembly on another.

physical inventory: A periodic reconciliation of item counts with system on-hand quantities.

physical tags: A tool for recording the on-hand quantity for a specific item in a specific location. A tag is most commonly a slip of paper posted at the item's location.

pick list: A report that lists all component requirements sorted by supply type for a particular discrete job, repetitive schedule or production line.

picking rule: A user-defined set of criteria to define the priorities Order Entry uses when picking items out of finished goods inventory to ship to a customer. Picking rules are defined in Oracle Inventory.

planned purchase order: A type of purchase order you issue before you order actual delivery of goods and services for specific dates and locations. You normally enter a planned purchase order to specify items you want to order and when you want delivery of the items. You later enter a shipment release against the planned purchase order when you actually want to order the items.

planner: Person responsible for deciding the time and quantity of a resupply order for an item.

planning horizon: The amount of time a master schedule extends into the future.

planning item: A type of item representing a product family or demand channel whose bill of material contains a list of items and planning percentages.

postprocessing lead time: The time required to receive a purchased item into inventory from the initial supplier receipt, such as the time required to deliver an order from the receiving dock to its final destination.

predefined serial number: To define an alphanumeric prefix and a beginning number for your serial numbers before you assign them to items. Predefined serial numbers are validated during receiving and shipping transactions.

preprocessing lead time: The time required to place a purchase order or create a discrete job or repetitive schedule that you must add to purchasing or manufacturing lead time to determine total lead time. If you define this time for a repetitive item, the planning process ignores it.

primary unit of measure: The stocking unit of measure for an item in a particular organization.

project: A unit of work broken down into one or more tasks, for which you specify revenue and billing methods, invoice formats, a managing organization, and project manager and bill rates schedules. You can charge costs to a project, as well as generate and maintain revenue, invoice, unbilled receivable and unearned revenue information for a project.

project inventory: Any and all items and costs in both project subinventories and project work in process jobs.

project job: A standard or non-standard WIP job with a project reference. The valuation accounts associated with this type of job will be project work in process. Any balance remaining in such a job when it is closed will be reported as a variance.

project locator: A locator with a project or project and task reference. See also common locator.

project manufacturing: The type of project that uses Projects with Manufacturing to track the costs of a manufacturing-related project against a project budget.

project subinventory: A subinventory with a project reference into which terms can be delivered and out of which items can be issued and transferred.

project task: A subdivision of Project Work. Each project can have a set of top level tasks and a hierarchy of subtasks below each top level task. You can charge costs to tasks at the lowest level only. See also Work Breakdown Structure.

pull transaction: A material transaction that automatically issues component items into work in process from inventory when you move or complete the assembly. Also known as post-deduct or backflush. See backflush transaction

purchase order: A type of purchase order you issue when you request delivery of goods or services for specific dates and locations. You can order multiple items for each planned or standard purchase order. Each purchase order line can have multiple shipments and you can distribute each shipment across multiple accounts. See standard purchase order and planned purchase order

purchase order encumbrance: A transaction representing a legally binding purchase. Purchasing subtracts purchase order encumbrances from funds available when you approve a purchase order. If you cancel a purchase order, Purchasing creates appropriate reversing entries in your general ledger. Purchase order encumbrance is also known as obligation, encumbrance, or lien.

purchase price variance: The variance that you record at the time you receive an item in inventory or supplier services into work in process. This variance is the difference between the standard unit cost for the item or service and the purchase unit price multiplied by the quantity received. You record purchase price variances in a purchase price variance account for your organization. Since standard cost is a planned cost, you may incur variances between the standard cost and the purchase order price.

purchased item: An item that you buy and receive. If an item is also an inventory item, you may also be able to stock it. See also inventory item.

Oracle Supply Chain Managment Handbook