Most of the countries in the world have specific unique local business needs and legal requirements. Oracle Applications is being used in more than 140 countries, and in order to attend some of those local business and legal requirements, Oracle has added to 11i a new set of functionality and parameters called Localizations.
Oracle Applications was designed to support the business and the legal requirements in United States. In some other countries, the Local Oracle Office has developed and supports Localization, therefore, Localization is applied to the country that was originally created for.
Brazil is one of the countries Oracle has support Localization. This country has a lot of different legal requirements, so Oracle has created the “Brazilian Localization” to support those. Additional configuration at some functional module is necessary (GL, FA, PO, OM, INV, CE, AP, AR Billing, PAC) and there is also a new module called RI (Integrated Receiving) which is just used in Brazilian implementations. To have an idea, there are close to 300 process variances required or affected by the Brazilian localization.
When planning any global roll out of Oracle functionality, in order to support the planning effort to install a particular Localization of Oracle Applications, it is recommended at least a high level assessment of the business operations. Localizations can never been forgotten in a Global implementation. There are a lot of ways to implement the Multi Organization structure where can be design to work with different currencies, have a look at our paper talking about the Multi-Org enhancement feature at this link.
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