What is Multi Organization Architecture in R12

What Is Multi organization Architecture:

       Multi Organization is a feature of oracle applications which Provides Implementation, Maintenance and operations of Multiple Business Units in an Enterprise within a single installation of Oracle Applications, taking Appropriate care of Data security and data separation. Below mentioned are certain salient features of Multi Organization functionality.

• Any number of Business Units in an Enterprise can be supported within a single installation of Oracle Application even if they have different Ledger, Legal Entity, HR data.
• User can access the data corresponding to and limited to the operating unit of the user.
• Transactions like Procurement, Receiving, Selling, Shipping Etc. with the same Party Can be Performed through Different Organization and can be managed internally through intercompany postings.
• Reporting can be managed at different organization levels like, Business Group, Ledger, Operating unit etc.

The Multi Organization structure should not only be compliant from legal perspective but should also be effective from operational management and accounting perspective. Multi organization Architecture provides support for multiple organizations in a single Installation of Oracle E-Business Suite on the basis of the relationships defined between multiple organizations entities in an Enterprise. It provides a hierarchy that specifies how different organization entities interact, and how transactions flow between them. Various types of organizations supported in the Multi organization Architecture are mentioned below.