Oracle Internal Requisition-Internal Sales Order(IRISO)

Internal Requisitions Overview

Provide the mechanism for requesting and transferring material from inventory to other inventory or expense locations. To use this functionality, you need to have Purchasing, Order Management, Shipping Execution, and Inventory installed. Internal Requisition (after suitable approval) will directly result in the generation of a sales order in the Order Management system through the Order Import process in Order Management

Steps to be followed in PO Module

  1. Create an IR(Internal Requisition)
  2. Create Internal Orders – Concurrent Program (It inserts data from Po in to OM tables)

Internal Sales Order Overview

Requesting inventory from another internal inventory organization involves the Internal Order process, which closely follows a traditional supply process. The internal order process utilizes three of the Oracle modules: purchasing, order entry and inventory (sometimes bill of materials). This process involves using internal requisitions, internal sales orders and inter-organization transfers.  Internal requisitions request inventory from another organization.  The requisition is converted into an Internal Sales Order to ship the material from the supplying inventory organization to the requesting organization.  Inter-organization transfers and tracks the inventory as it moves from one organization to the other organization.  An internal order has one of two purposes: to transfer material from one inventory organization to another or issue material to a distribution account.

Steps to be followed in OM Module

  1. Order Import Program
  2. Check ISO in Order Organizer( Order Source = Internal)
  3. Pick Release the sales order
  4. Do the ship confirmation
  5. Run the workflow background Process

After completing the workflow background process do the receiving transactions and check the on hand quantity

Flow Diagram




Go to tools Organization assignment check the orgs M1 and M3 and save the record.

Create the Shipping Network

avigation: Setup/Organizations/Shipping Networks

Enter the Inventory Organization that will be the Source and the scope should be From or To Organizations

Choose the Transfer Type

Directmeans that when the Internal Sales Order is shipped the receipt process in the destination organization is done automatically

Intransit means that when the Internal Sales Order is shipped – the destination inventory organization has to manually do the receiving process in Purchasing


Choose Internal Order Required checkbox – Save

Internal Customer Setup

Navigate to Customers -> Standard
Enter the following search criteria and click on Find

Name : Vision
Customer Number : 1021 

– Click on OK button

– Place cursor on the customer address starting with

Click on Open button

– Select the Business Purposes tab

– Place cursor on the Usage field Ship To and click Open Location : M3

Location : M3- Dallas Manufacturing
Organization : Seattle Manufacturing

This setup is to map the customer address to an internal receiving organization. An internal sales order will appear like a regular order, however actual shipping to an internal organization (in this case M3) is done by creating this association


Purchasing Setups

10. Verify the transaction type and order source (this is already done in Vision environment)

– Navigate to Purchasing -> Setup -> Organizations -> Purchasing Options

– Click on the Internal Requisitions tab

– Notice the Order Type and Order Source setup


Section2: Create an Internal Requisition

Functional Training 

Navigate to Purchasing -> Requisitions -> Requisitions

Enter the following information
In header select requisition type

Type   : Internal Requisition
Place cursor in destination region (lower left side fields) and enter

Organization   : M3
Location         :  Dallas Manufacturing

Go to the lines and enter the item
Item               : AS54999 
The Destination Type and Source should both automatically change to Inventory
and the Sub inventory fields should now be visible in edit mode in both the regions.
Go back to the destination region and select the sub inventory
Sub inventory: FGI
Go to the source region (lower right side fields) and enter
Organization  : Seattle

In the lines region, enter the following information
Quantity           : 2
Need-By Date: Sysdate + 10
save record and note down the requisition number


Submit the requisition for approval and check status

Click on the Approve button, then OK
Screen goes back to a blank requisition screen
Go to Purchasing -> Requisitions -> Requisition Summary
Search by entering noted requisition number and verify status is Approved


Hands on Exercise



Section3: Create Internal Orders

Functional Training 

Run the Create Internal Orders concurrent program.

This process inserts the data from PO into the OM interface tables

-Navigate to Purchasing -> Reports -> Run

– Run the concurrent request Create Internal Orders

– Go to View -> Requests and verify that the concurrent has completed successfully

Run the Order Import process

This process pulls the data from the OM interface tables into OM

Switch responsibility to Order Management Super User, Vision Operations (USA).
– Go to Orders, Returns -> Import Orders -> Order Import Request

– Select the following parameter values and leave the rest as default

Order Source : Internal 
Validate Only? : No 

– Submit the concurrent request

– Go to View -> Requests and verify the presence of Parent and Child requests, and that they have completed successfully

View the created internal sales order information

· Navigate to Orders, Returns -> Order Organizer

Query the internal sales order by entering

Order Source : Internal
Requisition Number : Enter internal requisition number



Hands on Exercise

  1. Data Base Column Details of the following fields in Order Header Form.


Now the line status is Awaiting shipping.

Hands on Exercise

Data Base Column Details of the following fields in Order Lines Form.


Query that will fetch the following details that are displayed in the Field Name.


Now do the pick release and ship confirm process and receive the items in the destination org.


Now that the item has been shipped out of the warehouse M1, we will proceed to receive the shipped quantity in M3.

Navigate to Purchasing -> Receipts -> Receipts

– Choose the organization as M3

– In the Requisition field, enter requisition number and click on Find



Save record

— This completes the steps for the internal sales order.


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