Streamline and automate revenue recognition under ASC 606.

For a global 3D printing manufacturer, Calfus implemented Oracle Revenue Management Cloud, integrating it with the existing Oracle E-Business Suite (EBS R12) environment on Oracle Cloud Infrastructure (OCI).

At-A-Glance

Global Reach

Global

Industry

3D Printing Manufacturing

Global Reach

Oracle Revenue Management Cloud & EBS Integration

Global Reach

Abstract

The customer engineered, manufactured, and sold 3D printers, printing materials, and scanners, while also providing printing services globally. Its revenue portfolio comprised a complex mix of products, installation, training, extended warranties, software licenses, and software maintenance obligations, resulting in complex revenue recognition requirements.

Calfus, in partnership with Oracle, demonstrated Revenue Management Cloud capabilities to resolve various revenue recognition scenarios. This led the customer to engage Calfus for designing, implementing and integrating Oracle Revenue Management Cloud solution with their existing Oracle EBS (R12) instance running on Oracle Cloud Infrastructure.

Objectives

Automate revenue allocation and accounting under ASC 606.
Recognize revenue accurately as performance obligations complete in full or in part, including contract modifications and terminations.
Apply standalone selling prices (SSPs) consistently through a multi-dimensional model with effectivity dates.
Eliminate slow, error-prone manual activities.

Calfus Approach & Solution

Calfus Approach
Calfus delivered the Revenue Recognition solution iteratively through 3 functional prototypes, covering 100+ sales order/service contract types across 13 countries and extending the out-of-the-box EBS–ERP Cloud integration connector.

The team trained key users ahead of the customer’s global rollout and identified process gaps, then worked with Oracle to resolve COGS recognition, contingencies, and GL reconciliations.

Solution

A comprehensive solution covering complex sales-order and service-contract scenarios.
Cost recognition in Oracle EBS, driven by revenue recognized in Revenue Management Cloud (RMCS).
Complex accounting rules handled through standard configuration and delivered integration feeds, with a tailored path for revenue contingencies.
Closed-loop reporting between RMCS and the EBS general ledger.

Outcomes

Automated, accurate revenue recognition.
No more adjustments across multiple customer-facing documents.
Accurate accounting and reporting, with faster reconciliations.
Extended EBS and RMCS connector, lowering integration costs.
Fewer manual activities and SSP calculation errors.

Case Study

Three months. Six modules. One Rock-Solid Finance Engine.

Case Study