Using Subscription Management

Oracle Fusion
Cloud Subscription
Management
Using Subscription Management

Oracle Fusion Cloud Subscription Management
F77892-05
Copyright © 2018, 2023, Oracle and/or its affiliates.
Author: Carmen Myrick
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Contents
Get Help ................................................................................................................................ i
1 About This Guide 1

Audience and Scope ....................................................................................................................................................................... 1
Related Guides ................................................................................................................................................................................. 1
2 Introduction to Subscriptions 3
Overview of Oracle Subscription Management ....................................................................................................................... 3
Overview of Creating a Subscription ......................................................................................................................................... 3
What makes up a subscription? ................................................................................................................................................. 4
Subscription and Coverage Products ........................................................................................................................................ 6
Usage-Based Subscriptions ......................................................................................................................................................... 6
Coverage Entitlements .................................................................................................................................................................. 8
What's the subscription lifecycle? ............................................................................................................................................. 10
Subscription Tasks and Actions ................................................................................................................................................ 14
Subscription Renewals ................................................................................................................................................................. 15
Subscription Amendments ......................................................................................................................................................... 17
Subscription Termination ............................................................................................................................................................ 18
Evergreen Subscriptions .............................................................................................................................................................. 19
Subscription Audit History ......................................................................................................................................................... 20
3 Subscription Pricing and Billing 23

Overview of Subscription Pricing ............................................................................................................................................. 23
Overview of Subscription Billing .............................................................................................................................................. 24
Pricing Terms ................................................................................................................................................................................ 26
Partial Period Billing .................................................................................................................................................................... 28
Generate Billing Schedule for Full Subscription Term ......................................................................................................... 30
Interface Bill Lines to Accounts Receivable ........................................................................................................................... 30
Manage Price Adjustments ......................................................................................................................................................... 31
How Interface Date and Invoice Date Are Calculated in the Billing Summary ................................................................ 34
Enable Periodic Billing for One-Time Charges ...................................................................................................................... 34
Enable Proration of One-Time Charges .................................................................................................................................. 37

Enable Periodic Revenue Recognition ..................................................................................................................................... 38
Rate Usage Readings for Assets ............................................................................................................................................... 39
Bill Using Estimated Usage ........................................................................................................................................................ 39
Align Billing Dates ........................................................................................................................................................................ 42
Enable Bill Immediately .............................................................................................................................................................. 44
Milestone Billing ........................................................................................................................................................................... 45
Bill Total Charge Amount ........................................................................................................................................................... 45
4 Create and Update Subscriptions 47

Create Subscriptions .................................................................................................................................................................... 47
How do I search for subscriptions and use filters? .............................................................................................................. 49
Preview Subscriptions ................................................................................................................................................................. 50
Create Coverage Subscriptions ................................................................................................................................................. 50
Add Subscription Products ......................................................................................................................................................... 51
Manage Standard Coverage Template .................................................................................................................................... 53
Add Coverage Products .............................................................................................................................................................. 54
Schedule Product Changes ........................................................................................................................................................ 55
How can I associate assets with subscriptions? .................................................................................................................... 56
Add Early Termination Fees ...................................................................................................................................................... 57
Assign Subscriptions to Other Users ....................................................................................................................................... 58
Manage Parties and Contacts ................................................................................................................................................... 58
Manage Team Members ............................................................................................................................................................. 59
Manage Sales Credits .................................................................................................................................................................. 59
Create On-Account Credit Memos ........................................................................................................................................... 59
Override Close Credit Amount .................................................................................................................................................. 60
5 Manage Subscriptions 63
Validate Subscriptions ................................................................................................................................................................. 63
Approve Subscriptions ................................................................................................................................................................ 63
How do subscriptions automatically or manually renew? .................................................................................................. 65
Renew Included Warranty .......................................................................................................................................................... 68
Communicate Subscription Renewal Information ................................................................................................................ 68
Review Churn Probability ........................................................................................................................................................... 68
How do I amend subscriptions? ............................................................................................................................................... 69
Duplicate Subscriptions ............................................................................................................................................................... 71
Adjust Ad-Hoc Bills ...................................................................................................................................................................... 72
Manage Multiple Subscriptions ................................................................................................................................................. 72

Activate Selective Products ........................................................................................................................................................ 75
Manage Subscription Approval Notifications ........................................................................................................................ 76
Update Multiple Products and Covered Levels ..................................................................................................................... 76
Manage Credit Cards ................................................................................................................................................................... 77
Oracle Fusion Cloud Subscription Management Get Help
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i
Oracle Fusion Cloud Subscription Management Get Help
ii
Oracle Fusion Cloud Subscription Management Chapter 1
Using Subscription Management About This Guide
1 About This Guide
Audience and Scope

This guide contains information to help subscription specialists perform day-to-day business tasks using Oracle
Subscription Management. This guide describes how to:
• Create subscriptions
• Add products to subscriptions
• Approve subscriptions
• Renew subscriptions
Related Guides
In addition to this guide, the following table provides summary information about other guides.
These may be important references as you use Enterprise Contracts:
Title Description
Oracle Fusion Cloud Sales Automation: Describes tasks to configure and set up Enterprise Contracts.
Implementing Enterprise Contracts
Oracle Fusion Cloud Applications: Using Describes user tasks and features that are common across Oracle Applications Cloud.
Common Features
Oracle Fusion Cloud Sales Automation: Contains information to help sales managers, salespeople, and other sales users perform daily sales
Using Sales tasks.
Oracle Fusion Cloud Customer Experience: Contains information about supplied reports and analytics, as well as how to create your own reports.
Creating and Administering Analytics for
Sales and Fusion Service
1
Using Subscription Management About This Guide
2
Using Subscription Management Introduction to Subscriptions
2 Introduction to Subscriptions
Overview of Oracle Subscription Management

Oracle Subscription Management provides a complete solution to sell subscriptions, services, and usage-based
products that include tangible items, such as periodic copier ink delivery, or intangible items, such as complex usage-
based software subscriptions.
Charge your customers based on how much they consume, with usage collected from any source via a web service.
Increase customer lifetime value by improving renewal rates and reducing revenue leakage with the renewal capabilities
in Oracle Subscription Management.
Subscription Management helps you:
• Create subscriptions using the UI, REST services, or import processes.

• Create subscriptions with subscription products and coverage products.
• Create line and subline hierarchies using coverage products with covered levels.
• Manually adjust product charges.
• Integrate with Accounts Receivables for billing.
• Integrate with third-party web services for acquiring usage quantity.
• Integrate with pricing application to setup discounts, promotions, and offers.
• View billing schedules.
• Preview subscriptions.
• Renew, amend, suspend, resume, and terminate subscriptions.
• Manually renew subscriptions using REST service.
Overview of Creating a Subscription

You can create subscriptions from the Subscription 360 subtab or the Subscriptions landing page.
• Subscription 360 page: Use the Subscription 360 subtab in the Account detail screen to create and manage
subscriptions and review key metrics. You can see active subscriptions, draft subscriptions, subscriptions about
to expire, and monthly recurring revenue of active subscriptions. Your administrator enables this page.
• Subscriptions landing page: The Subscriptions landing page lets you create subscriptions and view and edit all
your subscriptions from one page.
Related Topics
• Create Subscriptions
• How do I enable Subscription 360 in accounts?
3
What makes up a subscription?

Subscriptions consists of the several aspects, each of which has subpages.
The subpages are: Summary, Parties, Team, Renewal Controls, and Sales Credits.
Summary Page
The Summary page regions are:
• Overview: The Overview section comes prepopulated with information from the Create Subscription page.
Additionally, you can add subscription contracts and other supporting documents.
• Products: The Products region displays a list of the products available or added to the subscription. Add
products to the subscription using the Products section. You can add two types of products: subscription
products and coverage products with covered levels. Covered levels can be of type asset, product, party,
customer account, party site, asset group, and product group. Assets can be specific serialized or non-serialized
assets. For a serialized asset, such as a laptop or a printer, the asset is always an individual product.
• Tax Control: The Tax Control region displays tax classification code and tax exemption related information. The
Tax Control field becomes read-only when a subscription is in active status.
Note: The Estimated Tax number field is a calculated value that's populated from Accounts Receivable.
It's always recalculated based on certain factors and you can't populate it manually, like, for example,
through import. Additionally, the Estimated Tax field isn't exposed automatically. You need to enable it using
Application Composer.
Parties Page
The Parties page shows your customer and contact information. You can add and remove additional parties and
contacts here. By default, the application shows primary party details that were added during subscription creation. You
can't edit or delete the primary party.
You can replace the duplicate parties and related entities by merging them with the new party and consolidate all the
subscriptions under one party for the ease of tracking. When you merge parties and related entities, such as accounts
and sites in Oracle Customer Data Management, the application updates the corresponding subscriptions to reflect the
merge results. The application replaces the acquired or duplicate parties and its related entities in a subscription with
the new party and its entities. You need the Oracle Customer Data Management license to merge parties.
Here are the fields within Subscription Management that are updated after the parties and related entities merge:
Subscription Summary Tab
• Customer
• Billing Account
• Bill-to Site
Product Summary Tab
• Billing Account
4
• Bill-to Site
• Ship-to Party
• Ship-to Site
Parties Tab
• Name
Renewal Controls Tab
• Organization Name
Default Coverage Tab
• Default Level Value
Oracle Revenue Management, Oracle Pricing, and Oracle Tax don't support party merge. Therefore, here are the entities
that aren't updated after the party merge:
• Tax exemption certificates

• Revenue contracts
• Pricing qualifiers
• Customer profiles
• Dynamic matrix
Team Page
The Team page displays details of the subscription owner and all the team members who are associated with the
subscription. Additionally, you can add and delete team members.
Renewal Controls Page

The Renewal Controls page includes:
• Negotiation Settings: Use the Negotiation Settings region to override subscription profile details for a specific
subscription.
• Quote to Contact: Use the Quote to Contact region to define the intended recipients who receive the quote
notification emails, salespeople who are involved in the negotiation, and other parties who receive quotes and
renewal reminder notifications.
• Next Renewal: Use the Next Renewal settings region to define attributes that include Renewal Process,
Customer Acceptance, Internal Approval, and Price Adjustment Type. These override the renewal rules template
attribute values.
Sales Credits Page

You can enter sales credits for each salesperson. You can add and delete sales credits at the subscription header level
and at the product level. Subscriptions support quota and non-quota types of sales credits.
5
Subscription and Coverage Products

Products are of two types: subscription products and coverage products.
Subscription Products
Add subscription products for a one-time sale, recurring sales, or usage-based consumption of items associated with
subscriptions over a period. Subscription products can include serviceable items and pricing terms within each line.
Items can be both tangible and intangible in the lines. After creating a subscription product, you can review the billing
schedule of each item within the product.
Coverage Products
Add coverage products that include the setup and maintenance of serviceable items for a specific period. Covered levels
can be of type asset, product, party, customer account, party site, asset group, and product group.
Coverage lines describe the type of service required for covered assets within the line. They can include serviceable
inventory items, with sales product type as coverage, preventive maintenance, software maintenance, or service-level
agreements. Assets can be specific as serialized or non-serialized assets. For a serialized asset, such as a laptop or a
printer, the asset is always an individual product. An asset can represent multiple quantities for non-serialized items.
Assets include customer and related customer assets.
After you have added a coverage product, you can see the details of each covered asset, including unit price, amount,
and invoice text in its billing summary. The one-time charges are the charges for each asset, such as a registration fee.
The recurring charges are the charges for each covered asset for recurring periods, such as consumption fees. After
creating a coverage product, you can review the billing schedule of each item within the product.
Related Topics
• Add Subscription Products
• Add Coverage Products
Usage-Based Subscriptions
Usage-based subscriptions let you bill your customers based on usage charges. Usage charges are set up in the Oracle
Fusion Pricing application and then are available on subscription items.
Customer usage is periodically reported to Subscription Management via a web service. Reported usage is rated, and
subscriptions are invoiced according to it. Here's a typical flow of how subscriptions receive usages.
6
Usage Billing
Usage billing involves these steps:
1. Add a usage-based subscription product to the subscription.

2. Activate the subscription.
3. Run the Acquire Subscription Usage Data from an External Web Service scheduled process.
This process gets the usage quantity from a registered third-party service and updates the eligible bill lines with
the usage quantity.
4. Run the Fetch Pricing Information for Subscriptions and Generate Billing Schedule scheduled process.
This process calculates the usage price by multiplying the usage quantity with the price defined in the pricing
application.
Additionally, you can manually enter usage on active subscriptions. Go to the Billing Summary page. On a specific
billing line, you can enter the usage quantity. Once the usage quantity is entered, the application calculates the billing
information, if tiered pricing is defined.
Note: For usage-based subscriptions, pricing periodicity isn't taken into consideration. Instead, the application uses
the exact price value. Also keep in mind that the total contract value (TCV) at the header-level and at the product-line
level only consider one-time and recurring charges. Usage charges aren't considered when calculating subscription
TCV, which can cause the TCV to be 0 or less.
Related Topics
• Add Coverage Products
• Bill Using Estimated Usage
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Coverage Entitlements
You can define standard coverages with entitlement rules and you can associate multiple coverages at the global or
customer level, specific to the coverage product.
You can also provide users with configured entitlements processes. These processes support entitlements verification
in an external customer service environment along with a list of exceptions mapped to the calendar or coverage time
referred in an entitlement row.
Subscriptions receive details of entitlements provided to customers, during sales of coverage products, through
service requests. The entitlement details can be coverage and can have various response times, such as first response,
resolution, workaround, and so on.
You can add coverage entitlement to a specific coverage product and can move to another coverage from the existing
list. You can provide entitlement details on these covered level types:
• Asset
• Product
• Party
• Customer account
• Party site
• Asset Group
• Product Group
By default, the application supports entitlement details for asset and product. See the Enable Entitlements Support for
All Covered Levels topic to enable entitlement support for party, customer account, party site, asset group, and product
group.
Use coverage-based services to:
• Create and manage included and extended warranties.

• Track coverage entitlements.
• Price and bill for one-time and recurring charges.
• Renew coverage-based services.
• Retain independent control on lines.
You can create custom attributes and use them in coverage templates to filter entitlements as per your business needs.
Let’s consider an example where multiple coverages are applied to the same customer asset. If you want to select a
pricing adjustment from a specific coverage, you can identify that coverage using a custom attribute.
You can create and enable a custom attribute in the coverage template to identify which template should be used at the
time of pricing the debrief charges in Oracle Service Logistics.
You can select the custom attributes in the Subscription Entitlements service mapper and then customize the Get
Subscription Entitlements Algorithm to filter entitlements that are deemed not applicable as per business rules.
8
Covered Products
Subscription Management supports coverages that lets customers purchase support plans that cover services for
products or assets for a given time period. A support plan might be, for example, an extended warranty for a laptop, for
car repairs, or for appliance services. You can create coverage lines in a subscription that help you track and manage
coverage terms with your customer. A coverage line can consist of products and assets.
You create a coverage line by adding a product to a subscription. Along with entering product basic information, you can
configure various attributes of the product that include pricing and billing information, covered levels, coverages, and
sales credit.
Covered Levels
You can integrate your products with Oracle Asset Lifecycle Management to select assets and keep them updated, for
example, as warranty and coverage services terminate when the assets are terminated.
When you replace an asset with another asset in Oracle Asset Lifecycle Management, the application automatically
terminates coverage on the existing asset and covers the new asset in an included warranty. Whenever an alternate
asset is shipped, Oracle Asset Lifecycle Management creates an event for Subscription Management. This event is
automatically interfaced with Subscription Management. You can access event details using the Reprocess Installed
Base Updates page. You can view the replaced asset in the Covered Levels subtab.
Subscription Management only supports the one-to-one replacement of assets and associated asset components. In
Subscription Management, you can only replace:
• An asset with another asset

• An asset with an asset hierarchy
The replaced asset hierarchy retains the start date from the original asset. All asset components are assigned
the start date set as one day after the asset transaction date.
• An asset hierarchy with an asset
An asset replaces the asset header in the hierarchy, and all other asset components in the asset hierarchy are
closed.
• An asset hierarchy with another asset hierarchy
The entire asset hierarchy is replaced with another asset hierarchy, along with all its asset components.
When an asset component transaction date is earlier than the current date, the application displays the asset
components in the closed status. When an asset component transaction date is after the current date, the
application displays the asset components in the active status.
Use covered levels to define what's covered under the service. The coverage dates of the covered levels can be
independent of the header line.
You can use standard covered-level attributes, or any custom attribute created in a covered-level object, to search for a
subscription in the application. To use covered-level attributes to search for subscriptions, go to Advanced Search, click
Add and select the required covered-level attribute. The selected attribute is added as a search criterion in the advanced
search options.
Related Topics
• Enable Entitlements Support for All Covered Levels
9
What's the subscription lifecycle?

Each subscription typically moves through certain predefined statuses as part of its lifecycle.
Here are the predefined statuses:
• Draft: The initial status of the subscription.

• Pending Approval: When you submit a subscription for internal approval, its status changes to Pending
Approval.
• Active: When you approve a subscription, its status changes to Active.
• Under Amendment: When you amend a subscription line, its status changes to Under Amendment.
• Expired: When a subscription reaches its end date, the status of the subscription changes to Expired.
Note: Subscription statuses are predefined and you can't define new statuses. However, you can define user statuses
and their transitions and use them.
The actions you can take on a subscription during each of its statuses are determined by status rules. For example, you
can’t edit some fields in the UI for certain statuses. And, for example, the Tax Control field becomes read-only when a
subscription is in active status.
In addition, when a subscription moves out of a status, the resulting status follows rules.
This chart shows how a subscription moves through its lifecycle, from its creation to its approval. A new subscription
is created in the Draft status. Then, depending on different actions, some manual and some through workflow, the
subscription goes through different lifecycle statuses.
10
Actions for Draft Subscriptions

Here are the different actions you can perform on a subscription and its lines when the subscription is in Draft status:
Subscription Action Resulting Subscription Status Subscription Line Action Resulting Subscription Line
Status
Activate Active Add subscription line Draft
Preview No change Update subscription line Draft
11
Status
Reprice No change Reprice line Draft
Regenerate Billing Schedule No change Regenerate Billing Schedule Draft
Cancel Canceled Cancel Canceled
Actions for Subscriptions Under Amendment

Here are the different actions you can perform on a subscription and its lines when the subscription is in the Under
Amendment status.
Status
Activate Active Add subscription line Draft
Email No change Amend subscription line (only if Under amendment

the line is active)
Preview No change Delete subscription line (only if the NA

line is draft)
Validate No change Reprice line (only if the line is draft) Draft
Validate No change Regenerate billing schedule (only if Draft

the line is draft)
Validate No change Cancel (only if the line is draft) Canceled
Validate No Change Close (only if the line is active or Closed

expired)
Actions for Subscriptions Pending Approval

Here are the different actions you can perform on a subscription and its lines when the subscription is in the Pending
Approval status.
Status
Withdraw Under amendment (if the previous NA NA

state was under amendment)
12
Status
Withdraw Draft (if the previous state was NA NA

draft)
Email No change NA NA
Preview No change NA NA
Actions for Active Subscriptions

Here are the different actions you can perform on a subscription and its lines when the subscription is in the Active
status.
Status
Renew Active Add subscription line Draft
Close Closed Close subscription line (only if the Closed

line is active or expired)
Email Active Amend subscription line (only if Under amendment

the line is active)
Preview Active NA NA
Validate Active NA NA
Actions for Expired Subscriptions

Here are the different actions you can perform on a subscription and its lines when the subscription is in the Expired
status.
Status
Renew Expired Add subscription line Draft
Close Closed Close subscription line (only if the Closed

line is active)
Email Expired Amend subscription (only if the Under amendment

line is active)
13
Status
Preview Expired NA NA
Validate Expired NA NA
Note: The only action available for a closed subscription is to duplicate it.
Subscription Tasks and Actions

Here are the different actions you can perform when subscriptions are in various statuses, along with the situations
when these actions are possible:
Action Status Description
Validate • Draft Validates the subscription.

• Under Amendment You can approve a subscription only after it's
• Active validated.
• Expired
Cancel • Draft Cancels updates.
Delete • Draft Deletes the subscription from the application.
Activate • Draft Activates the subscription and sends the

subscription to the activation hierarchy,
• Under Amendment depending on the setup.
Withdraw • Pending Approval Withdraws the subscription from the approval

queue.
Renew • Active Renews a subscription and moves it to draft.

• Expired
Reprice • Draft Reprices a subscription and coverage lines

when a new price is calculated for a new billing
schedule.
Generate Billing Schedule • Draft Generates a new billing schedule.
Duplicate Subscription • Draft Creates a copy of the subscription.

• Active
14
Action Status Description
• Under Amendment
Apply Hold • Active Puts billing on hold. Putting the subscription

billing on hold has no effect on revenue
recognition.
Email • Draft Opens the Email Subscriptions dialog box to

create and send emails with attachments.
• Active
• Expired
• Closed
• Canceled
• Under Amendment
• On Hold
Note: Expired product lines are sent to Accounts Receivable, but On Hold lines aren't sent to Accounts Receivable.
Related Topics
• Validate Subscriptions
• Approve Subscriptions
• How do subscriptions automatically or manually renew?
• Duplicate Subscriptions
Subscription Renewals
When you renew a subscription, the application makes a copy of the existing source subscription.
The source subscription can be in active or expired status. The effectivity and the price details on the new renewal
subscription are changed based on the default configuration done by the administrator.
Use the renewal feature to:

• Process renewals automatically using a scheduled process.
• Renew directly from the Subscriptions page.
• Consolidate eligible subscriptions into a single subscription.
• Notify customers using quote letters, emails, and reminders.
You can renew a subscription either manually or automatically. Here are the renewal settings:
• Automatic: The application automatically renews and activates the subscription.
• Manual: The renewed subscription is created and placed in draft status.
• Do not renew: The subscription isn't renewed after expiration.
The application uses renewal rules to determine the appropriate actions to take during renewals. The lifecycle of a
renewing subscription is similar to a newly authored subscription. However, administrators can configure a different
15
lifecycle for a renewing subscription using the Event Model configuration. You can also activate the subscription without
either customer acceptance or internal approval. The application evaluates the renewal rules template to retrieve the
renewal process, customer acceptance criteria, and internal approval criteria.
Here are the price adjustment types that you can apply to your subscriptions for the next renewal cycle:
• Markup: The subscription applies the markup percent on the net price.
• Markdown: The subscription applies the markdown percent on the net price.
• Reprice: The subscription reprices the item.
This graphic shows a typical renewal process:
16
Renewal Operation Description
Identify Subscriptions for Renewal • Determine subscriptions eligible for renewal

• Notify salespeople about the expiring subscriptions
Create Renewal Subscriptions • Application creates a new renewal consolidated subscription or a different subscription
See the Renew Subscriptions topic for more information
Update Subscription • Update subscription with any changes, new effective dates, and compliance
Customer Communication and • Send quotes to customer for acceptance

Negotiation
• Send reminders
• Negotiation
Activate Subscription • Post-acceptance internal approval

• Communicate activation
Related Topics
• How do subscriptions automatically or manually renew?
Subscription Amendments
Update the product of an active subscription by amending it.
When you amend a product, the action creates a duplicate product line, and you can update the duplicated line.
The subscription moves to Under Amendment, the original product line moves to Under Amendment, and the new,
duplicated product line is in the Draft status. Use the Amend feature to do these:
• Assign product noncompliance
• Upgrade or downgrade products
• Change products
• Change quantity
• Change product term
• Change product
• Copy custom child objects
• Manage charges
You can also perform other actions on a product when amending it. These actions don't create a new line.
• Change payment method
• Change billing owner or customer contact
• Change tax control
• Change renewal options
17
Revert a Subscription
When you revert a subscription, changes made in the latest amendment are canceled. The subscription returns to its
state prior to the amendment. You can revert a subscription only when it's under amendment. You can't revert the
changes after the subscription is activated.
Related Topics
• How do I amend subscriptions?
Subscription Termination
When subscription amendments are approved, the application displays the new lines in an active status. The original
lines that went through the amendment process are terminated or closed.
• If the amendment effective date is the current date or a past date, the original line and its covered levels move
to the closed status after you approve the amendment.
• If the amendment effective date is a future date, the original line and its covered levels remain in an active
status until a day before the amendment effective date. On the amendment effective date, the original line and
its covered levels move to a closed status.
The Update Subscription Status scheduled process moves these lines to the closed status.
Close Credit Method

When a line is terminated, you must prorate the charges and calculate the bill for the remaining periods. You also need
to refund any credit to the customer. Here are the credit methods you can apply on terminated lines:
• Prorate with credit: The new bill is calculated on a prorated basis, considering any credit from the terminated
line.
• Prorate without credit: The new bill is calculated on a prorated basis and credits are dropped.
• Full: Full charges are waived as a refund upon termination.
Note: Expired subscriptions can't be closed using close credit or any other method.
Withhold Proration of Usage Charges

You can enable the Withhold proration of usage charges check box from the Edit Subscription Profile page. This lets
you disable the proration of usage charges and issue no credit when a subscription is closed with either Prorate with
credit or Prorate without credit close credit method.
If the updated usage quantity has been rated, but the usage charge has not been interfaced to Accounts Receivable, the
charge won't be prorated. If it's been interfaced to Accounts Receivable, no credit will be issued against that line.
However, you can’t withhold credit for usage charges if the usage isn't rated, if the usage quantity has not been
updated, or if the subscription is closed with full credit.
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Undo Close
You can undo the closure of a subscription and return it to the status it was in before closing. This gives you added
flexibility in case you make a mistake in closing or if your customers want to rollback the close operation.
You can use the Undo Close action from the Actions menu on the Edit Product page. You can rollback close for those
subscriptions where these conditions are met:
• The product must already be closed or have a future close date.

• You can undo close if any credit memo issued hasn't been interfaced to Accounts Receivable.
• If any bill line that was prorated as a part of close hasn't been interfaced to Accounts Receivable, including
termination fee, if any.
• The Withhold proration of usage charges check box must be enabled.
• This action isn't available if the subscription product was closed as a part of an amendment or suspension.
When you perform the undo close action, any credit memo lines or prorated bill lines are dropped. The subscription is
returned to the status it was in prior to close.
Related Topics
• Enable Proration of One-Time Charges
• Override Close Credit Amount
Evergreen Subscriptions
Evergreen subscriptions let you to create subscription lines that don't have end dates. Such lines and subscriptions are
called perpetual, or open-ended. Subscription headers may or may not have an end date.
By default, subscription lines inherit the subscription header end date. You can remove the end date at the line level.
This action creates an evergreen product line. You can add evergreen products to any subscription, including termed
subscriptions with end dates. If you add an evergreen product to a termed subscription, then the subscription term end
date is removed from the subscription.
You can add or remove the end date on an already existing draft line. This action causes the subscription to regenerate
the billing schedule.
Evergreen Pricing and Billing

Evergreen charges are displayed similarly to termed lines. The billing schedule is generated only for the subsequent
billing cycle. If you have defined a specific pricing term, then the billing schedule is generated for the period of the
pricing term. Whenever you interface an invoice with Accounts Receivable, the subsequent billing schedule is added to
the billing schedule page.
For an evergreen subscription without an end date, the application generates the billing schedule for billing periods
based on the billing frequency. You must run the Fetch Pricing for Subscriptions and Generate Billing Schedule
scheduled process to generate the billing schedule for the next term. This scheduled process also applies the markup
value provided by you to the billing schedules.
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An evergreen subscription with calendar billing generates a billing summary that adheres to the calendar month billing.
For example, let's assume you have configured the application like this:
• Product
Product Quantity Start Date End Date Bill Frequency Billing Date Period Start
Product 1 1 15-Jan-21 Month Period Start Calendar Month
• Charges
Charge Periodicity Unit Price
Recurring fee Month $1000
In this scenario, here's how the application generates the billing summary:
Period Charge Sequence Interface Date Bill-from Date Bill-to Date Amount
1 Recurring Fee 1 15-Jan-21 15-Jan-21 31-Jan-21 548.39
1 Recurring Fee 2 1-Feb-21 1-Feb-21 28-Feb-21 1000
Note: Since there's no end date at the subscription header level, total contract value (TCV) doesn't show for evergreen
subscriptions. To show TCV, add an end date to the subscription.
You can also generate billing summaries until the billing period that includes the current date for the evergreen and
termed subscriptions with applicable pricing terms that are created with a historical start date.
Subscription Audit History

Audit history lets you track the change history of a subscription or subscription product.
The history granularity is at the attribute level. Your administrator must set up audit history, also known as change
history. When someone changes subscription attributes or subscription product attributes, the application logs who
(user ID) changed what (add, or update, or delete) and when (date and time).
Settings made by the administrator determine which attributes get audited and when the audit starts and ends. C
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Audit Reports
To access the data recorded by the audit process, you view audit reports in the Audit subtab. You can access the Audit
subtab from the Subscription detail page and Edit Product page.
The default search in the Audit subtab displays a summary of the audit history in the search results table. It includes key
data such as date, user, event type, and description. For a detailed report, search again with modified search criteria.
You can export the report summary to Microsoft Excel.
This table lists the search parameters and the outcome of their selection in the detailed report.
Search Parameter Result of Selection
Include Child Objects This parameter displays all the child objects that were listed for that business object when audit was set
up. For example, a sales order object that contains several items as child objects.
Note that it only displays the objects at the immediate parent-child level. You can view the children at
subsequent levels by selecting the child object as the business object type and then searching again.
Show User-Related Details This parameter displays the details of the "impersonator" who modified the objects during an
impersonation (delegation) session.
Show Attribute Details This parameter enables the attributes list so that you can select either all attributes or a specific
attribute to view the changes. Based on the selection, the search results indicate whether the attribute
was created, updated or deleted, and the corresponding old and new values.
Show Additional Object Identifier Columns This parameter displays the instances (contexts) in which the business object was used. The context
values identify the objects and the transactions in which they were used. Each context is unique and
assigns a unique description to the business object.
Supported Attributes
Here are the subscription attributes and subscription product attributes that support auditing:
Subscription Attributes Subscription Product Attributes
• Automate subscription line • Accounting Rule

numbering
• Display Sequence
• Bill Service
• Invoice Text
• Billing Account
• Payment Method Code
• Bill-to Site
• Payment Terms
• Communication Channel
• PO Number
• Contact Name
• Renewal Type
• Contract Layout Template
• Ship-to Party
• Copy To
• Ship-to Site
• Customer Acceptance
• Transaction Type
• Description
• Wire Number
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Subscription Attributes Subscription Product Attributes
• Enable Electronic Signature

• Enable Renewal Reminders
• Exemption Reason Code
• Internal Approval
• Language
• Primary Salesperson
• Renewal Process
• Ship-to Party
• Ship-to Site
• Short Description
• Tax Exemption Certificate Number
Remember, audit records change only for the objects and attributes enabled by your administrator.
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Using Subscription Management Subscription Pricing and Billing
3 Subscription Pricing and Billing
Overview of Subscription Pricing

You must first set up the pricing strategy for the subscription.
The pricing strategy of the subscription is then retrieved when you enter the Business Unit, Legal Entity, Number, and
Primary Party during subscription creation. When lines are added, the pricing information is retrieved automatically.
Here are the different pricing strategies:
Pricing Strategy Description
Flexible Pricing Plan Used for recurring and usage charges for a single SKU.
Tiered Pricing Vary the unit price or discount based on the quantity or usage quantity.
Automatic Price Adjustments Set up promotions and discounts on one or more charges of a SKU.
Manual Price Adjustments Change the price manually on a subscription
Coverage Pricing Price a support plan based on the assets and products it covers.
Anniversary Pricing Periodic price increase on a termed or evergreen subscription.
Flexible Price Plan

Use this pricing strategy for subscriptions that use one-time charges, recurring charges, or usage-based charges. You
have the flexibility to use the list price or net price as the pricing plan on which to calculate price adjustments.
Tiered Pricing
Use this pricing strategy for subscriptions that use quantity or amount based tiers for price lists. You can:
• Evaluate tiers for a subscription charge.

• Apply rules for different tiers.
• Apply discount percent, discount amount, markup percent, markup amount, or price override.
Automatic Price Adjustments

Use this pricing strategy in subscriptions that use discount rules at multiple levels, such as simple, tiered, and attribute
based.
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Manual Price Adjustments

Use this pricing strategy for subscriptions where the pricing administrator controls the price list. You can apply multiple
discretionary discounts on the net price or list price.
Coverage Pricing
Use this pricing strategy for subscriptions where customers can purchase a support plan to cover services for a product
or asset for a given period, for example, extended warranty for a laptop, car repair, or appliance services.
Anniversary Pricing
Use this pricing strategy for subscriptions where the planned pricing changes over time. For example, you can offer an
introductory price for your customer for a lower entry price and then gradually increase it.
Overview of Subscription Billing

Subscription Management supports configurable billing frequencies, advance and arrears billing, partial period billing,
and milestone billing.
You can use any of these billing strategies for your subscriptions. You can also configure your billing for prepayments at
the product level.
In addition, Subscription Management offers you the flexibility to bill customers monthly, quarterly, annually, or by your
company-defined frequencies. Company-defined frequencies can be bi-monthly, weekly, and so on. Use the different
billing capabilities to do accomplish:
• Bill charges in advance or in arrears
• Stop billing
• Use company-specific billing rules
• Schedule bill runs for business units or customers
• Create company-specific billing schedules
• Create a credit memo and capture the reason for creating a credit memo
• Create bill adjustment and capture the reason for creating a bill adjustment
• Use milestone billing to bill based on an ad-hoc date or a date on the completion of an event
Note: You create and manage the reasons for creating credit memo and bill adjustments using:
• The ORA_OSS_CREDIT_MEMO_REASON lookup type
• The ORA_OSS_BILL_ADJ_REASON lookup type
Summarized Versus Detailed Billing

When you add a coverage product to your subscription, you have the option to view the summarized charges of each
line item from multiple covered levels or separate line items for each charge. For summarized bills, bill lines across all
covered lines are grouped by the charge definition for specific periods and displayed at the coverage product level.
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Let's see an example of detailed and summarized billing. Here's a setup of a coverage product and its covered levels.
Coverage Line - Gold Support 1 Year Charge - Activation Fee $1000 Covered Level Asset: A Qty: 6 Charge - Setup
Fee $1000 Charge - Monthly Service Fee $100/Month Covered Level Asset: B Qty:5 Charge - Setup Fee $500 Charge -
Monthly Service Fee $50/Month
Here's what the detailed bill would look like:
Period Charge Name Amount Invoice Text
0 Activation Fee $1000
0 Setup Fee $1000 Asset A
0 Setup Fee $500 Asset B
1 Monthly Fee $100 Asset A
1 Monthly Fee $50 Asset B
Now, let see what your summarized bill would look like:
Period Charge Name Amount
0 Activation Fee $1000
0 Setup Fee $1500
1 Monthly Fee $150
CAUTION: If you adjust the price on a summary bill line using an amount of 0, it's not possible to calculate the rate of
increase. Thus, the application is unable to distribute the adjustment to asset-level bill lines.
Note that the covered lines aren't grouped. They're listed individually in the detailed bill. In the summarized bill, the
charge items are grouped by Setup Fee and Monthly Fee.
Revenue Management Cloud Integration

Oracle Revenue Management Cloud Service needs subscriptions-related data to manage the revenue recognition
process. Revenue is recognized for the performance obligations as and when different events occur. As part of this
integration process, Revenue Management Service does the following:
• Automatically imports subscription lines for subscription products, coverage products, and usage products.
• Automatically imports subscription changes as revisions for Oracle Subscription Management. These are
treated as retrospective accounting revisions in Revenue Management
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• Imports subscription billing from Receivables to Revenue Management to clear contract asset balances, record
discounts, and record initial performance events.
Here are the subscription events that initiate data a transfer to Revenue Management:
• Subscription amendment
• Subscription renewal
• Subscription termination
• Usage billing
• Evergreen billing
• Pricing terms
Note: You can only interface subscription records to Revenue Management when both subscription header and
associated products are in the active status.
For integration information, see Guidelines for Integrating Revenue Management with Subscription Management.
Invoice Text
To process the descriptions of the invoice by Accounts Receivable, you must add attributes for the subscription invoice
text. This includes charge name, product name, bill to date, bill from date, and so on. The subscription invoice text
supports up to 150 characters. By default the invoice text appears as follows: [$Subscription Number] [$Product Name]
[$Charge Name] [$Bill from Date] [$Bill to Date]. For more information, see Subscription Profiles in the Implementing
Subscription Management guide.
Pricing Terms
Use pricing term functionality to set specific pricing behavior on a subscription.
You can apply a pricing term to evergreen subscriptions and to termed lines that are in draft status. The pricing term
option is available on the Create Subscription page and when adding products. By default, pricing term functionality is
disabled. When you enable a pricing term, you must enter the pricing method and the term.
After you enable a pricing term, the subscription regenerates the billing schedule for the duration of the pricing term,
for both evergreen and termed lines. For example, a one-year pricing term results in a one-year billing schedule for an
evergreen line, instead of one billing period. Similarly, for a termed line with three years' duration, the billing schedule is
generated for one year.
The billing schedule doesn't exceed the end date of the line. For example, a termed line valid for six months that has a
pricing term of one year generates a billing schedule of only six months.
When you change the pricing method, pricing term, or the start date, then the subscription regenerates the billing
schedule when you save that subscription. These are the attributes of the pricing term:
Pricing Term Attribute Description
Enable pricing term Applies a pricing method to the product for the specified duration.
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Pricing Term Attribute Description
Pricing Method • Markup: Select this option to increase the list price. For example, if the list price is $100 and you
apply a markup of 10%, the calculated price becomes $110.
• Markdown: Select this option to decrease the list price. For example, if the list price is $100 and
you apply a markdown of 10%, the calculated price becomes $90.
• Reprice: Recalculates the latest price. This doesn't change the charges; only the latest charges are
retrieved.
Markup and markdown apply to all recurring charges.
Pricing Term • On evergreen lines, the subscription generates the billing schedule for the number of periods
specified in the pricing term.
• On termed lines, the subscription generates the billing frequency, for example, reprice the line
every month.
Starting On Select the date when the pricing term becomes effective. If you keep this blank, the start date of the
line is assumed to be the effective date of the pricing term.
Generate billing schedule for the full Select this option to generate billing schedules for the entire subscription product duration.
period
You can't use this option with evergreen subscriptions and reprice method.
Let's see an example of a one-year subscription with 5% price increase every year. To achieve this, let's assume that you
select:
• Pricing Method: Markup, 5%

• Pricing Term: 1 Year
• Starting On: Leave blank
If the list price is $1000, the billing schedule is displayed as follows:
Invoice #1 - Year 1 - $1,000
Invoice #2 - Year 2 - $1,050
Invoice #3 - Year 3 - $1,102.50
Update Pricing Terms for Multiple Subscriptions

You can update the pricing terms for multiple subscriptions using the mass update functionality.
The mass update functionality lets you update the Pricing Method and the Pricing Term Adjustment Percentage
Attributes.
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Note:
• You can perform a mass update for any product that has the Enable pricing term check box enabled.
• This is only applicable for those subscriptions that are in draft or active status.
• Subscriptions that are in expired status are only affected by an update in pricing terms if they undergo an
amendment.
Related Topics
• Update Multiple Products and Covered Levels
Partial Period Billing

You can implement rules so that the billing engine calculates a partial period within the service duration driven by your
business.
Let's take an example where we have a service running from 15th January 2019 to 10th April 2019. You can bill your
subscription using either of these strategies.
• Two months of service and a partial period at the end. The partial period would be 15th March 2019 to 10th April
2019.
• A service period tied to a calendar period. Here, the first partial period is 15th January 2019 to 31st January 2019,
then two full periods of February and March, and the second partial period of 1st April 2019 to 10th April 2019.
You can tie the period start date to the service start date of the calendar start date. For service start date, the period
starts from the service start date. For the calendar start date, the period starts from the calendar start date, which can
be the first day of the month.
The period type determines whether the partial period duration is based on a fixed number of days or the actual days in
the period.
This setup also applies to other types of periodicity, such as Quarterly.
How Period Type Influences Duration

Let's take an example where a service starts on 1st March 2019 and ends on 10th February 2020, and the period start
date is tied to the service start date.
If the period type is actual, here's how the application calculates duration:
Date Duration
1st March 2019 - 31st January 2020 11 months
1st February 2020 - 10th February 2020 0.357 months (10/28)
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Date Duration
Note that since February has 28 days, the partial period is calculated based on 28 days. The total duration is calculated
as 11.357 months.
If the period type is fixed, here's how the application calculates the duration:
Date Duration
1st March 2019 - 31st January 2020 11 months
1st February 2020- 10th February 2020 0.333 months (10/30)
Note that a month is set as 30 days, hence the partial period is calculated based on 30 days. The total duration is
calculated as 11.333 months.
How Period Start Influences Duration

Let's take an example, where a service starts on 15th January 2019 and ends on 10th April 2019 and the period type is
actual.
If the period start is service start, here's how the application calculates the duration:
Date Duration
15th January 2019 - 14th March 2019 2 months (2 full periods)
15th March 2019 - 10th April 2019 0.871 months (27/31)
The total duration is calculated as 2.871 months.
If the period start is a calendar month, here's how the application calculates the duration:
Date Duration
15th January 2019 - 31st January 2019 0.548 months (17/31) - First partial period
1st February 2019 - 31st March 2019 2 months - 2 full periods tied to calendar months
1st April 2019 - 10th April 2019 0.333 (10/30) - Second partial period
The total duration is calculated as 2.881 months.
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Related Topics
• Bill Partial Periods
Generate Billing Schedule for Full Subscription Term

You can generate billing schedules for the full subscription term when your customer agrees to the periodic adjustments
over the pricing term of the subscription.
The application computes the total contract value for the full term and recognizes the revenue proportionately, using
the straight-line method over the subscription term to comply with ASC 606 and IFRS 15 standards.
The Generate billing schedule for the full period check box in the Pricing tab lets you generate billing schedules
for the entire subscription product duration. The price for each term is calculated using the markup or markdown
percentage entered by you.
For subscriptions starting with a partial period, schedules are prorated based on the markup or markdown percentage
for the specific term. A revenue contract is created for the entire duration of the subscription product.
Interface Bill Lines to Accounts Receivable

You can interface bill lines to Oracle Account Receivables by either:
• Running the Send Subscription Billing Information to Receivables scheduled process

• Using the Action > Send Bill Lines to Receivables on the subscription or subscription products page to
directly interface bill lines to Accounts Receivable
You can use the Send Bill Lines to Receivables action when a subscription or subscription product is in the active,
under amendment, closed, or expired status. You can view the Send Bill Lines to Receivables action only when your
administrator enables it. Your application administrator can enable this feature using Application Composer.
On the Billing Summary tab, the Sent Date column displays the date on which a bill line is sent to Account Receivables.
This field is disabled by default. To enable this field, see the Enable Sent Date in Billing Summary topic.
Note: Closed and on-hold products lines aren't sent to Accounts Receivable during the Send Subscription Billing
Information to Receivables process, even if the subscription is active. This process only looks at product status and
not at subscription status. It only sends data from products data, not from subscriptions.
Related Topics
• Restrict Send Bill Lines to Receivables Option
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Manage Price Adjustments

You can make price adjustments on subscriptions, including making multiple adjustments, and then apply them to one
or more discretionary discounts or markups.
Note: Be sure to adjust prices before setting a subscription to active. You can't adjust prices when a subscription is in
active status.
To make price adjustments for a subscription product:

1. Navigate to the Pricing subtab and click the Add icon in the Adjustment column.
2. On the Price Adjustments page, click Add Adjustment.
3. Enter the adjustment name.
4. Click the Type drop-down list and select a price adjustment type.
5. Enter the price adjustment value.
6. Select whether the price adjustment basis is list price or net price.
7. Click the Effectivity drop-down list and select the period when the adjustment is active.
8. Enter the reason.
9. Click Save and Close.
The Effectivity drop-down list lets you select the duration you want to apply a discount or markup for. In this drop-
down list, you can select:
• All terms: Applies price adjustments for the entire term.
• First periods: Applies price adjustments only for specified first periods.
• Last periods: Applies price adjustments only for specified last periods.
• Specific periods: Applies price adjustments for the period range specified in the Effective From and Effective
To fields.
• First full periods: Applies price adjustments correctly when a subscription starts mid-period and uses Calendar
Month as the period start value. For example, when a subscription starts on January 8 and you select this
option to give a discount for 3 months, the discount is applied starting January 8 till April 7.
Examples of How Effectivity List Values Impact a Billing Schedule

This example illustrates how the Effectivity drop-down list values affect the billing schedule:
Configuration
Let's assume you have configured the application such as:
• Product
Product Quantity Start Date End Date Bill Frequency Invoice Rule Billing Date Period Start
Product 1 1 16-Jan-20 15-Jan-21 Month Advance Period Start Calendar

Month
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• Charges
Recurring Fee Month $100
• Price Adjustments
Charge Adjustment Adjustment Value Basis Effectivity Effective Effective To Duration

Type From
Recurring 100% off Discount 100 List Price First full 3

Fee Percent periods
Recurring 30% off Discount 30 Net Price First full 4 5

Fee Percent periods
Scenario 1: First Full Periods and Specific Period Adjustments
Period Charge Interface Date Bill-from Date Bill-to Date Amount
1 Recurring Fee 1/16/2020 1/16/2020 1/31/2020 0.00
2 Recurring Fee 2/1/2020 2/1/2020 2/29/2020 0.00
3 Recurring Fee 3/1/2020 3/1/2020 3/31/2020 0.00
4 Recurring Fee 4/1/2020 4/1/2020 4/30/2020 35.00
5 Recurring Fee 5/1/2020 5/1/2020 5/31/2020 70.00
6 Recurring Fee 6/1/2020 6/1/2020 6/30/2020 100.00
7 Recurring Fee 7/1/2020 7/1/2020 7/31/2020 100.00
8 Recurring Fee 8/1/2020 8/1/2020 8/31/2020 100.00
9 Recurring Fee 9/1/2020 9/1/2020 9/30/2020 100.00
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10 Recurring Fee 10/1/2020 10/1/2020 10/31/2020 100.00
11 Recurring Fee 11/1/2020 11/1/2020 11/30/2020 100.00
12 Recurring Fee 12/1/2020 12/1/2020 12/31/2020 100.00
13 Recurring Fee 1/1/2021 1/1/2021 1/15/2021 48.39
When you click the $35 amount in period 4, the application displays:
Field Amount
List Price 100
100% off List 4/1/20 - 4/15/20 -50
100% off List 4/1/20 - 4/15/20 -50
Net Price 35
Scenario 2: First Full Periods and Specific Period Adjustments with Termination
Now, let's look at the same configuration again. In this scenario, let's assume that you have invoiced the subscription
till period 4, that's 1-Apr-20, and the user closes the line on April 11 with the Close Credit Method set as Prorate with
credit. Here's how the application generates the billing summary:
1 Recurring Fee 1/16/2020 1/16/2020 1/31/2020 0.00
2 Recurring Fee 2/1/2020 2/1/2020 2/29/2020 0.00
3 Recurring Fee 3/1/2020 3/1/2020 3/31/2020 0.00
4 Recurring Fee 4/1/2020 4/1/2020 4/30/2020 11.67
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How Interface Date and Invoice Date Are Calculated in

the Billing Summary
Here's how the application determines the interface date and invoice date in the subscription billing summary:
Interface date is populated with the date that's higher, between sysdate and invoice date.
Criteria How Date Is Determined
Invoice date for Arrears Invoice + Billing Billtodate+1

date period start
Invoice date for Arrears Invoice + Billing Billtodate

date period start
Invoice date for Arrears Invoice + Billing The day of the month after the bill-to date
date: day
Invoice date for Arrears Invoice + Billing Billtodate+1 + offset (number of days)
date: offset
Invoice date for Advance Invoice + Billing Billfromdate

date: period start
Invoice date for Advance Invoice + Billing Billfromdate-1

date: period end
Invoice date for Advance Invoice + Billing The day of the month before the bill-from date
date: day
Invoice date for Advance Invoice + Billing Billfromdate + offset(no of days)

date: offset
Enable Periodic Billing for One-Time Charges

Instead of billing one-time charges at the start of a subscription, you can use the Enable periodic billing check box to
bill the one-time charges throughout the subscription duration, based on the billing frequency.
You can enable this check box for one-time charges in the Pricing tab.
Things to Keep in Mind

Here are some things to keep in mind:
• The application prorates one-time charges for partial periods. In this scenario, the full one-time charge is
collected during subscription billing duration. For more information, see the Partial Period Billing topic.
• One-time charges can't be billed periodically for evergreen subscriptions.
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• When you select the Enable pricing term check box, the one-time charges are billed periodically only over the
duration of the initial term even when you enable the Generate billing schedule for full period check box in
the Pricing tab.
• The application considers the charge adjustments while periodically billing one-time charges. For example,
when you apply a 20 percent discount on a one-time charge, the same is reflected in the billing summary.
The application applies the charge adjustment for the entire duration of a subscription. Any rounding
adjustment is added to the last billing period. However, the manual adjustments is applied on individual bill
lines and rounding adjustment can be added to selected periods so that it doesn't apply to all periods.
• In case of termination, the application bills one-time charges based on the close credit method.
• Renewed subscriptions and duplicate subscriptions aren't impacted by this feature as one-time charges aren't
copied to renewed or duplicated subscriptions.
• Interface date will always be the bill-from date or system date, whichever is later if you have an "in advance"
invoice, and bill-to date if you have an "in arrears" invoice. The interface date won't change when you run the
Send Subscription Billing Information to Receivables process.
Examples of Enabling Periodic Billing

This example illustrates how the application generates the billing schedule when you enable the Enable periodic billing
check box for one-time charges.
Configuration
Let's assume you have configured the application such as:
• Product
Product Quantity Start Date End Date Bill Frequency Invoice Rule Billing Date Period Start
Product 1 1 1-Jan-20 31-Dec-23 Year Advance Period Start Calendar

Month
• Charges
Charge Periodicity Unit Price Periodic Billing for the one-

time charge
Software Fee N/AA $4000 Enabled
(One-time charge)
Support Fee Year $500 N/A
Scenario 1
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1 Software Fee 1-Jan-20 1-Jan-20 31-Dec-20 1000
1 Support Fee 1-Jan-20 1-Jan-20 31-Dec-20 500
Note: The one-time charge of $4000 has been distributed over the subscription duration of 4 years and billed as
$1000 per year.
Scenario 2
Now, let's look at the same configuration again. In this scenario, let's assume that you have invoiced the subscription
from January 2020 to December 2021 and the subscription is terminated on 1st July 2021 with the Close Credit Method
set as Prorate with credit. Here's how the application generates the billing summary:
2 Support Fee 1-July-21 1-July-21 31-Dec-21 -250
3 Software Fee 1-July-21 1-Jan-22 31-Dec-22 1000
4 Software Fee 1-July-21 1-Jan-23 31-Dec-23 1000
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However, the subscription is terminated on 1st July 2021, the application generates period 3 and period 4 lines as the
revenue recognition happen immediately for the one-time charge. When you select the Close Credit Method set as
Full, the application creates an additional line to refund $2000 charged as the one-time charge. In this case, period 3
and period 4 lines aren't created in the billing summary.
Enable Proration of One-Time Charges

You can prorate one-time charges and return credit for them when a subscription is closed.
This ability to prorate subscriptions lets you negotiate for an entire subscription up front and still prorate the charges
and offer credit on termination.
You can select the Enable Proration check box from the Edit Product page of subscription-type products that are in
draft or active status (if there's no end date).
At the time of closing, you can decide to prorate with credit or prorate without credit. Your close credit method
determines how much credit is issued to your customer.
Impact of Close Credit Method on Prorated One-Time Charges

Prorate without credit:
If the charge is billed periodically, and the close date is in the future, the one-time charge is prorated the same way
recurring charges are prorated.
If the charge is not periodically billed, no credit is issued to the customer.
Prorate with credit:
If the charge is periodically billed, the one-time charge is prorated, and the appropriate credit is issued. This amount is
calculated the same way as recurring charges.
Consider a 3-year subscription from 1-Jul-21 to 30-Jun-24 with a one-time charge of $6000. Billed periodically, this
subscription’s billing summary will be as follows:
Period Charge Sequence Interface Date Invoice Date Bill-from Date Bill-to-Date Amount
1 Sale Price 1 1-Jul-21 1-Jul-21 1-Jul-21 30-Jun-22 $2,000.00
If this subscription is closed on 1-Nov-22 using prorate with credit, the credit to be issued is calculated as follows:
((duration of active subscription/total duration of the subscription) x one-time charge) – one-time charge
Here, the credit will be calculated as ((123/365)x2000)-2000 = -$1326.
Here's the billing summary for this subscription:
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2 Sale Price 2 1-Nov-22 1-Nov-22 1-Nov-22 30-Jun-23 -$1,326.027
If the charge isn't periodically billed, appropriate credit is calculated based on the close date. Consider the same 3-year
subscription with a one-time charge of $6000.
Product Quantity Start Date End Date Duration Period Bill Inv Rule Billing Period Period
Frequency Date Start Type
Product1 1 1-Jul-21 30-Jun-24 3 Year Year Advance Period Service Actual

Start Start
Here, if the subscription is closed with prorate with credit on 1-Mar-22, the credit to be issued is calculated as follows:
((duration of active subscription/total duration of the subscription) x one-time charge) – one-time charge which
is ((243/1096) * 6000)-6000 = $4669.70
Here's the billing summary:
2 Sale Price 1 1-Mar-22 1-Mar-22 1-Mar-22 30-Jun-24 -4669.70

• If the one-time charge is recognized immediately in Revenue Management, the revenue contract is revised, on
close, to reflect the prorated amount. If the one-time charge is recognized periodically, the revenue contract line
is revised as it is for a recurring charge.
• You can’t prorate one-time charges for evergreen subscriptions.
Enable Periodic Revenue Recognition

You can use the Enable Periodic Revenue Recognition check box to periodically recognize revenue for your one-time
charges.
You can enable this check box for one-time charges in the Pricing tab. When you enable this field for a one-time charge,
the revenue for that charge is recognized throughout the subscription duration in Oracle Revenue Management Cloud.
If you close a subscription product with a periodically recognized one-time charge, the revenue recognition of this
charge is accelerated in Revenue Management based on the close credit method you use. If you close a subscription
product and issue a full credit, this one-time charge is recognized immediately on the subscription product start date.
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Alternatively, if you close a subscription product and use the Prorate with credit or Prorate without credit option as
the close credit method, the one-time charge is recognized throughout the subscription until its termination date.
Note:
• You can't enable periodic revenue recognition for evergreen subscription products.
• Renewed subscriptions and duplicate subscriptions aren't impacted by this feature, since one-time charges
aren't copied to renewed or duplicated subscriptions.
Rate Usage Readings for Assets

You can rate the usage readings captured for assets created in Oracle Asset Lifecycle Management.
To rate usage readings:

1. Navigate to Subscription Configuration > Asset Lifecycle Management > Maintain Meter Definition
Templates.
2. Enter appropriate values in the mandatory fields: Name, Code, UOM, and Start Date.
3. In the Applicable Items section, associate the subscription item with the meter.
4. Create additional meters and associate with the subscription item, if required.
5. Create a subscription contract and select the subscription item with a meter as the subscription product in the
contract line.
Note: The subscription profile in the contract should have Usage Capture Mode set as Fusion.
6. Click the subscription product and navigate to the Pricing subtab.

7. Select a meter from the list of meters associated with the subscription item and enter the initial reading.
8. Activate the subscription contract.
9. To enter the meter readings, click the subscription product in the contract line and navigate to the Pricing
subtab.
10. Click the Enter Readings icon, enter the reading in the New Readings field and enter the meter reading date.
11. Navigate to Scheduled Processes. Select the Acquire Subscription Usage Data from an External Web
Service scheduled process and submit it.
12. The meter reading and billing amount are updated in the Billing Schedule line of the usage charge.
13. As a setup user, navigate to Scheduled Processes. Select the Send Subscription Billing Information to
Receivables scheduled process.
Note: Meter readings can also be imported using Import Management.
Bill Using Estimated Usage

For a usage-based subscription product, you can bill your customer in advance based on estimated usage.
In the Pricing tab, you can price your usage charge based on:
• The estimated amount or estimated quantity along with invoicing rule.
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• The minimum amount or minimum quantity.

Once you have billed your customer based on estimated usage, you can run the True Up Usage Bill Lines scheduled
process, after you get the actual usage, to true up the billed amount. This scheduled process compares the amount that
was billed based on estimated usage against actual usage and creates a settlement.
You can also define a minimum committed usage threshold per charge period, either in conjunction with or
independent of defining an estimate. If the actual usage for the billing period falls below the defined minimum
threshold, the application uses the minimum usage value for billing.
If you set up both the minimum and estimated usage, the estimated usage value must be higher than the minimum
usage value. You can set up the minimum or estimated usage for subscriptions in the draft status. Once a subscription
is activated, these fields become read-only, but you can amend the subscription to change them.
Add Estimated Usage

Here's how you can define estimated usage values and true up the billed amount:
1. Navigate to the Subscription details page.

2. From the Products section, select a usage-based product.
3. On the Edit Product page, click the Pricing subtab.
a. Optionally, enter a value in the Minimum Amount or Minimum Quantity field.

b. Click the Add icon in the Estimation column to add estimation values.
4. In the Usage Estimation window:
a. Select the Estimation Method value as Estimated quantity or Estimated amount.

b. Enter a value in the Estimated Quantity or Estimated Amount field.
c. Select Invoicing Rule as Advance Invoice or Arrears Invoice.
d. Click Save and Close.
Note: The application populates the usage charge type only when you're using estimated usage, because: .
◦ You estimate usage, and a new line is generated with the estimated amount.
◦
At the end of the month, the application calculates the difference and there will be a third line
with a true up value (which can be billed if it was more than the estimated value or credited if it is
less).
Usage charge type will have one of the following values: Actual, Estimated, or Trueup.
5. Click the Billing Summary tab to see the new rows added for the estimated charge and verify the usage
quantity and amount.
6. In the Billing Summary tab page, click Actions and select Generate Billing Schedule Lines to generate the
billing schedule lines.
7. Activate the subscription.
8. From a row with the usage quantity, click Action and select Update Usage Quantity to make changes in the
usage quantity.
9. Run the Acquire Subscription Usage Data from an External Web Service scheduled process to obtain usage
quantity values for actual bill lines.
10. Run the Fetch Pricing Information for Subscriptions and Generate Billing Schedule scheduled process to
obtain the amount for actual bill lines.
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11. Run the Send Subscription Billing Information to Receivables scheduled process to interface bill lines. After
running this scheduled process, the application updates the Interfaced value for the estimated bill lines as Y in
the Billing Summary tab.
12. Run the True Up Usage Bill Lines scheduled process to adjust or true up the billed amount.
Bill Lines with the Same Charge ID

For bill lines with the same charge_id, if one of the bill periods doesn’t have any readings, usage readings won't get
updated correctly. Say, for example, there are 4 bill lines with same charge_id and all of them have meter readings
except line 2. In this case, the application updates meter readings only for bill line 1.
Keep in mind:
• Every meter should have an initial reading.

• All past bill periods should have at least one reading.
• You can run the Acquire Subscription Usage Data from an External Web Service scheduled process only once
for a bill period. Any meter reading entered after running the process is computed against the following month.
Update Estimated Usage Quantities

You can update estimated usage quantities of usage-based subscription products over the contract period based on
past or projected consumption. You can update the estimated usage quantities on non-interfaced lines only.
Here’s how you can update estimated usage quantities:
1. Navigate to the Edit Product page of a usage-based subscription product.

2. Click the Billing Summary tab.
3. Navigate to a non-interfaced billing line and click the gears icon in the Actions column.
4. Click Update Usage Quantity.
5. In the Usage Estimation Window:
◦ Select the Estimation Method value as Estimated Quantity.

◦ Enter the updated value of estimated usage quantity in the Estimated Quantity field.
Note: Regenerate Billing Lines once Estimated Quantity is updated at Product Charge level.

Here are a few things to keep in mind when using estimated usage:
• If billing occurs more frequently than the charge period or if there's a partial period billing, the estimate and
minimum usage value are prorated for that bill line accordingly.
• You can't interface the Actual bill line to Accounts Receivable and this usage charge type doesn't show any
invoice details such as Interface Date, Invoice Text, Invoice Date, Invoice Number, and so on.
• When you terminate a subscription before the application obtains actual usage values and the True Up Usage
Bill Lines scheduled process completes, the application generates a credit based on the billed amount. This
amount is prorated based on the closed or suspended date. Once the actual usage is available, the true up
scheduled process makes necessary adjustments based on the billed amounts.
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• When amending a subscription, the application copies estimation attributes to the new draft subscription line.
But, when duplicating a subscription, the charges aren't copied. Therefore, no estimation attributes are copied
from the original to the new subscription.
• In the Usage Estimation window, when you select the invoicing rule as Advance Invoice:
◦ The application bills the usage charge in advance based on the estimation method.
◦ The application creates settlements for the billing period when the actual usage values are obtained.
◦ The date of the settlement credit memo is tied to the last month's invoice.
• In the Usage Estimation window, when you select the invoicing rule as Arrears Invoice:
◦ The application bills the usage charge based on the actual usage if the usage reading is available.
◦ The application uses estimated reading when the actual usage reading isn't available. After the actual
usage values are obtained, the application creates settlements for the billing period.
• You can only update estimated usage quantities and not the estimated usage amount.
• You can’t update the estimated usage quantities of interfaced bill lines.
Related Topics
• Usage-Based Subscriptions
• Rate Usage Readings for Assets
• Usage Charges
Align Billing Dates

You can align billing dates using the Align Billing From field in the Billing section on the Edit Product page.
You may want to align billing periods of your subscription products bill lines for various reasons, such as:
• To align billing periods across different subscription products
• To align your billing periods from the start of your fiscal quarters
The Align Billing From field is supported only for the subscription type of Products. When you select a date in the Align
Billing From field, the application creates a partial period ending on the day before the alignment date. The billing
summary is also updated with the selected alignment date as the start of the next billing period.
Note: The application doesn't copy the billing alignment date when you suspend, amendment, duplicate, or renew a
subscription product.
For example, let's consider a 5-year subscription product with a $54,000 annual charge starting on 1 July 2020 and the
subscription product with these billing configurations:
Product Quantity Start Date End Date Bill Frequency Invoicing Rule Billing Date
Product 1 1 1-Jul-20 30-Jun-25 Year Advance Period Start
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Here's the billing summary for the above subscription product line:
1 Annual charge 1 1-Jul-20 1-Jul-20 30-Jun-21 54000
In this scenario, when you select 27 July 2020 as the date in the Align Billing From date field for your subscription
product, a partial period is created, which ends on the day before the align billing from date. Also, bill lines are aligned to
your set date. Here's how the billing summary is generated:
1 Annual charge 1 1-Jul-20 1-Jul-20 26-July-20 3774.19
2 Annual charge 2 27-Jul-20 27-Jul-20 26-July-21 54000
6 Annual charge 6 27-Jul-24 27-Jul-24 30-July-25 50225.81
Alternatively, consider a scenario where you select 27 May 2020, which is before the start date of the line, in the Align
Billing From field. In this scenario, a partial period is created, which ends before the set align date in the next year. The
bill lines are then aligned to the set bill date from the next billing cycle. Here's how the billing summary is generated:
1 Annual charge 1 1-Jul-20 1-Jul-20 26-May-21 48919.35
2 Annual charge 2 27-May-21 27-May-21 26-May-22 54000
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6 Annual charge 6 27-May-25 27-May-25 30-Jun-25 5080.65
Related Topics
• Evergreen Subscriptions
• Bill Evergreen Subscriptions
• Evergreen Subscriptions and Pricing Terms
Enable Bill Immediately

You can bill your subscriptions up-front using the Bill Immediately check box in the Billing section on the Edit Product
page. The invoicing rule to enable up-front billing must be Advance.
When you enable this field, the interface date and invoice date of all bill lines are the same as the first bill line, for both
the subscription product and covered levels.
For example, consider a 2-year subscription product with a $54,000 annual charge starting on July 1, 2021.
The billing configurations for this subscription are:
Product Quantity Start Date End Date Bill Frequency Invoicing Rule Billing Date
Product 1 1 01-Jul-21 30-Jun-23 Year Advance Period Start
The billing summary of this product line is:
Period Charge Sequence Interface Date Invoice Date Bill-from Date Bill-to Date Amount
1 Annual Charge 1 01-Jul-21 01-Jul-21 01-Jul-21 30-Jun-22 $54,000
2 Annual Charge 2 01-Jul-21 01-Jul-21 01-Jul-22 30-Jun-23 $54,000
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Keep these points in mind:
• The application copies the Bill Immediately selection when you duplicate, renew, suspend/resume, or amend a
subscription product.
• Bill Immediately isn't supported for evergreen subscriptions or subscriptions with pricing terms.
Milestone Billing
Milestone billing lets you bill customers as an event happens or using an ad-hoc date. At the same time, you can also
recognize revenue based on ad-hoc dates or milestones that your finance department prescribes.
How it Works
Each bill line amount on a subscription corresponds to a billing milestone. The percentage of the charge amount is the
bill line amount of the milestone. The interface date of the bill line is the completion date of the milestone.
A revenue line is created for the charge and the completion date of the milestone is the satisfaction date. Every
satisfaction event corresponds to recognising a percentage of the allocated revenue.
The milestones are billed by identifying those that are complete, updating the completion date for them, and then
interfacing the bill lines to Accounts Receivable.
For more information, see Overview of Billing Using Milestones.
Bill Total Charge Amount

You can use the Total Charge Amount field on the Subscription Product page to specify the amount you want to bill for
a given recurring charge.
Any difference between the total charge amount provided by you and what's billed by the application is corrected by
making a billing adjustment for the last billing period.
Often, the different CPQ systems used by you to configure, price, and quote your products use a different proration
method. This can cause a discrepancy between the price quoted by you and price finally calculated.
Consider this example of a yearly subscription to see how a difference in proration methods can cause discrepancies:
Product Quantity Start Date End Date Duration Period Bill Inv Rule Billing Period Align
Frequency Date Start Billing
Date
Data 1 1-Jan-21 19-Jan-22 384 Days Year Advance Period Service 10-Jan-21
Storage Start Start
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Recurring Fee Year $10,000.00
Period Charge Sequence Bill-from Date Bill-to-Date Amount Amount -Daily

(Subscription Rates
Management)
1 Recurring Fee 1 1-Jan-21 9-Jan-21 $241.94 246.58
(=9/31/12*10000) (=9/365*10000)
2 Recurring Fee 2 10-Jan-21 9-Jan-22 $10,000.00 10000
3 Recurring Fee 3 10-Jan-22 19-Jan-22 $268.82 273.97
(=10/31/12*10000) =10/365*10000
$10,510.75 10520.55
You can enter the value quoted to your customer in the Total Charge Amount field to correct this difference in the
quoted price and calculated price. This creates a bill adjustment at the end of the billing period to account for the
differences.
Product Quantity Start End Date Duration Period Bill Inv Rule Billing Period Period TCV
Date Frequency Date Start Type
Data 1 15-Jan-21 14-Apr-21 3 Month Month Advance Period Calendar Actual 3015.50
Storage Start Month
Here’s an example of a 3 month subscription with bill adjustment:
Charge Periodicity Unit Price Quoted Total Charge Value
Monthly Fee Month $1,000.00 3000
Billing Summary:
Period Charge Sequence Interface Date Bill-from Date Bill-to-Date Amount
1 Recurring Fee 1 15-Jan-21 15-Jan-21 31-Jan-21 $548.39
2 Recurring Fee 2 1-Feb-21 1-Feb-21 28-Feb-21 $1,000.00
3 Recurring Fee 3 1-Mar-21 1-Mar-21 31-Mar-21 $1,000.00
4 Recurring Fee 4 1-Apr-21 1-Apr-21 14-Apr-21 $451.62
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Using Subscription Management Create and Update Subscriptions
4 Create and Update Subscriptions
Create Subscriptions
Here's how to get started creating a subscription.
1. Click Create Subscription on the Subscriptions landing page.
2. On the Create Subscription page, enter the required subscription information.
This table describes a few important fields and their implications:
Field Description
Customer The customer entering into a subscription.
Subscription Number The unique subscription identifier.
The application automatically generates the subscription number, but you can update it when
editing the subscription.
Bill-to Customer The customer to which the subscription is billed.
Every time the customer is entered or updated, Bill-to customer defaults to customer. If you
change the bill-to customer to a new value, the Bill-to Account, Bill-to Site/Address, and Billing
Contact fields get cleared.
Billing Account The account to which the subscription is billed.
You can select from the list of all accounts with sites that have bill-to usage, all related
accounts with a bill-to relationship, and sites with a bill-to usage for the primary party on the
subscription. If the customer has only one billing account, then the application sets that value
as the default.
Bill-to Site All the sites with bill-to usage associated with the selected bill-to account. If the selected billing
account has only one bill-to site, then the application sets that value as the default.
Note:
End dated bill-to site values are displayed until the bill-to site value is inactivated from an
order.
Bill-to Address The bill-to address of the customer.
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Field Description
Currency The business unit currency.
If you plan to add products to the subscription, be sure to select a currency that matches
the default General Ledger currency. If you select a currency on the subscription header that
doesn't match the default General Ledger currency, when you try to add a product, you'll
receive an error.
For currencies with fluctuating conversion rates, leave the Conversion Date field blank. When
the subscription is validated, the conversion rate date is used as the date of the validation of the
contract.
Subscription Profile Determines the partial period and billing settings of the subscription.
Priced on Date Determines the date when the charges are being derived from the pricing application.
Term Duration and period of the subscription. The term is automatically calculated when you provide
the start and end dates.
3. Enter Tax Control information. This is the tax levied on the service provided, based on the region and
regulations of the subscription. If you change the subtotal for a line or a covered asset, the application
recalculates the estimated tax.
Field Description
Classification Code Codes used to represent classifications of accounts and contacts, for example, by industry or
type.
Exemption Control Exemption for taxation.
Tax Exemption Certificate Number Displays certificate number from the third-party exemption set up at the account and site
levels.
Document Fiscal Classification Determines the tax. It's used when the reporting processes need the documentation associated
with the header of the transaction.
4. Click Save and Close to create the subscription and go to the Subscriptions landing page. Alternatively, click
Save and Continue to create the subscription and go to the Overview page to configure the subscription.
5. On the Summary subtab (Overview page), click Add Product to add subscription products and coverage
products with covered levels to your subscription.
6. On the Parties subtab, click Add Party or Add Contact to add additional parties or contacts to your
subscription.
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7. On the Renewal Controls subtab, configure your subscription's renewal settings.
By default, the application uses the settings in the renewal rules template. If you update information here, then
this information overrides the information in the renewal rules template.
8. On the Coverage subtab, select the coverage template.
9. On the Sales Credit subtab, click Add Sales Credits to add salespeople and their credits.
Note: You can’t edit some fields in the UI for certain statuses. For example, the Tax Control field becomes read-only
when a subscription is in active status.
Related Topics
• What makes up a subscription?
• Subscription Amendments
• Impact of Closing or Amending Subscriptions
How do I search for subscriptions and use filters?

You can search for a subscription using the subscription number from the Subscription Management landing page.
On the Subscription Management landing page, enter the subscription number you are searching for in the Find search
box and click the Search icon.
Search Using Advanced Search

1. On the Subscription Management landing page, click the Show Advanced Search icon (filter icon).
2. Use the search criteria in Advanced Search to search subscriptions. This table describes a few criteria you can
filter your search by:
Field Description
Subscription Number Filter search by subscription number
Customer Filter search by customer name
Status Filter search by the status of the subscription. For example, active or expired.
Days to Expiration Filter search by the expiration time frame. For example, subscriptions expiring in 30 days
Product Name Filter search by product
Covered Asset Number Filter search by covered asset
3. To add more search criteria or filters, click Add and select the filters.
4. Click Search.
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Note: The list page doesn't show decimals for amount fields.
Search Using Saved Search

You can save the criteria that you use the most for quick access.
1. On the Subscription Management landing page, click the Show Advanced Search icon.
2. Select the search criteria to filter your search results.
3. Click Add to add more search criteria if needed.
4. Click Save.
5. In the Name field on the Create Saved Search dialog box, enter a name for your saved search. This will appear
in the Saved Search menu in Advanced Search.
6. Select Set as Default to set it as the default search criteria.
7. Select Run Automatically to ensure that the application runs this search automatically every time you navigate
to the Subscriptions landing page.
8. Click OK.
Preview Subscriptions
You can view the subscription in a user-friendly preview format.
To preview a subscription:
1. Sign in as a subscription user and navigate to the Subscriptions work area.
2. Search for a subscription and open it.
3. Navigate to Renewal Controls.
4. Select Language, Contract Layout Template, and Communication Channel.
5. Select Actions > Preview.
Note: When you preview a subscription, the contact details come from the Renewal Controls tab, Contact field. This
field shows the contact on the related quote. These are the relevant fields for the quote contact: Address, Phone and
Email.
Create Coverage Subscriptions

You can create coverage subscriptions by adding coverage products to a subscription and defining the covered levels for
the products.
1. Navigate to an existing subscription or create a new subscription with the required details.
2. Click Add Product and select the coverage product you want to add.
3. Navigate to the coverage product you created and go to Covered Levels.
Note: If the Covered Level subtab isn't showing, verify that the products you've added have the correct
Subscription Type. For products with a subscription type of Subscription, this subtab doesn't appear.
4. Add the applicable covered levels that determine what is covered by your coverage subscription.
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Add Subscription Products

Add subscription products to your subscription to specify what you're selling. Once you add products, you can establish
coverage duration, add billed amount, configure credits, and more.
1. Within a subscription, click Add Product.

2. On the Add Product page, enter the product number, select the product, specify the quantity, and then click
Save and Continue.
Field Description
Number The number of a product line. When your administrator enables the Automate subscription
line numbering field in the subscription profile, the application automatically assigns a number
for subscription product.
Name Select the product from the list of values. You can search for subscription items and coverage
items, including extended warranty, service level agreements, and software maintenance. You
can't add included warranty items.
Description The description of the product.
Quantity The quantity of the product.
Pricing UOM Displays the UOM of pricing.
Start Date The date when the product becomes active.
Duration and Period These two fields, in conjunction, signify the effective period of the product. For example, one
year.
End Date The end date is automatically calculated based on the start date and the combination of
duration and period. Alternatively, you can set the end date, and the application calculates the
duration and period.
If the end date is in the past, the status won't automatically go into Expired status. For that, the
Update Subscription Status scheduled process must be run. The recommended timing for this
scheduled process is daily. For more information, see Update Subscription Status Process.
Renewal Type Valid values are:
◦ Renew: When selected, the application creates a renewed subscription with a selected
product.
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Field Description
◦ Do not renew: When selected, the application creates a renewed subscription without a
selected product
Price Adjustment Type Select the price adjustment types that you can apply to your subscription product for the next
renewal cycle:
◦ Markup: The subscription applies the markup percent on the price.
◦ Markdown: The subscription applies the markdown percent on the price.
◦ Reprice: The subscription reprices the item.
Price Adjustment Basis The values are List price or Net price. You can enter the price adjustment basis when the price
adjustment type is set as either Markup or Markdown.
Price Adjustment Value Enter a percent value by which price is adjusted. You can enter the price adjustment value when
the price adjustment type is set as either Markup or Markdown.
Payment Method Valid values are:
◦ Credit card
◦ Purchase order
◦ Wire
Close Credit Method Determines whether or not partial or full charges are waived as a refund upon product
termination.
Enable pricing term Applies a pricing method to the product for the specified duration.
3. On the summary subtab, configure the renewal and billing information. The billing attributes include the
following:
◦ Invoicing Rule: Rule that indicates the time of payment for subscription and coverage items.
- Advance Invoice: Indicates a payment that applies to a subscription only once.
- Arrears Invoice: Indicates a consumption fee based on the usage.
◦ Billing Frequency: Period for a serviceable item. For example, MONTH.
◦Accounting Rule: The revenue recognition rule. Accounting rule is mandatory during subscription
creation.
4. Go to the Pricing subtab. Here you can see and adjust line item prices for products.
To adjust the charge, click the plus icon:
a. On the Price Adjustments page, click Add Adjustment.
b. Enter the adjustment name.
c. Select the adjustment type.
d. Select the adjustment value.
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e. Select the period when the adjustment is active.

f. Enter the reason.
g. Click Save.
5. Select Enable pricing term to add a pricing method to the product. If you select this option, then you must
select a pricing method and the term. The pricing methods are markup, markdown, or reprice. If you select
markup or markdown, the application adjusts the prices by the given percentage. If you select reprice, the
application recalculates the latest prices. All these calculations happen for the specified term.
6. Go to the Billing Summary subtab to see details about how the product is billed.
Review the schedule to ensure accurate billing, ahead of invoicing. The information displayed here reflects
updates made to coverage dates and pricing for the assets. You can see a detailed bill or a consolidated bill.
You can see a detailed price waterfall of how the final amount for a billing cycle is calculated. You can also
resolve any billing disputes by providing refunds, fee waivers, future discounts, credit memo, and penalties
using bill adjustments.
Note: You can view the invoice details only when your administrator has provided you with the data access
permissions at the business unit level using the Manage Data Access for Users task.
7. Go to the Sales Credits subtab to add sales credit records for the subscription and coverage products.
8. Click Save.
Note: To add a product to a subsciption, the price list must be defined in the same currency as the General Ledger
currency.
Related Topics
• Subscription and Coverage Products
Manage Standard Coverage Template

After adding a standard coverage template to a subscription or coverage product in the Coverage tab, you can:
• Edit the existing template. When you edit a standard coverage template, the application converts it into a
nonstandard template.
• Switch this template with other standard coverage template.
• Access and update a standard template details by clicking on the template name.
Here's how you can edit the standard coverage template values by creating a nonstandard template specific to a
subscription or coverage product:
1. Select an appropriate subscription or coverage product.
2. On the Edit Product page, click the Coverage tab.
3. On the Edit Coverage page, click Edit.
4. Make necessary changes in the template.
5. Click Save.
6. Optionally, click Revert to Standard to reapply your standard coverage template instead of your edited
template.
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Since the new template is just a copy of an initial standard template, you can't search for this nonstandard template on
the Manage Standard Coverage page. The application assigns the name for this nonstandard template at the time of
creation, which you can rename along with other attributes. You can update the nonstandard coverage template for the
products in the draft status.
Add Coverage Products

Add coverage products to your subscription to specify what you're selling. Once you add products, you can establish
coverage duration, add billed amount, configure credits, add covered levels, and more.
See the Add Subscription Product topic for information on how to add products. Additionally, you can also select the
Summarized Billing option for coverage and coverage-based services. If enabled, this feature displays the bill in a
summarized format. Otherwise, the application displays all the pricing items as separate line items.
Add Covered Levels

The application supports asset, product, party, customer account, party site, asset group , and product group as covered
levels. Use Add Assets to search and select multiple assets. Use Add Covered Levels to select one asset, product,
party, customer account, party site, asset group, or product group at a time. After you add a coverage product, then the
Covered Levels subtab is available for that coverage product.
1. Go to the Covered Levels page.

2. Click Add Assets.
3. Search for assets that are covered in the subscription.
You can optionally specify components within the asset to be covered. The assets can be serialized or non-
serialized.
4. Click Ok.
5. Click Add Covered Level.
6. On the Add Covered Level page, select the covered level type.
Depending on your selection, the Covered Levels section displays fields for asset, product, party, customer
account, party site, asset group, and product group. You can update the Number of Assets and Unit Price
fields as needed to generate the billing schedule based on duration.
7. Click Save and Continue to go to Edit Covered Level page, where you can configure the covered level.
8. Add adjustments on the Pricing page.
You can apply one or multiple discretionary discounts on the net price or list price. You can also add manual
adjustments to the products.
9. See billing of the covered level on the Billing Summary subtab.
Click amount to see a break-up of the different price components of the line.
10. Click Save and Close to go back to the Covered Level page.
11. Click Save to go to the Edit Product page.
12. See the charges for all the line items and the summary of the bill on the Billing Summary subtab.
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View Billing Summary

Here you can view the detailed bill of all the products you have added or summarized bills of the coverage products you
have added.
• Summarized Billing: If you selected Summarized Transactions, then the application groups bill lines across all
covered lines by charge definition for a specific period. The application displays the bill lines at the coverage
product level.
◦ For coverage products, the application generates the summarized bill lines by grouping by charge name
for a specific period. The invoice text is rendered when the summary is generated. The application only
displays summarized bill lines in the coverage product billing summary region. These are interfaced with
Accounts Receivables.
◦ For covered levels, the application displays the bill lines of the covered levels in the covered level billing
summary region.
• Detailed Billing: If you haven't selected Summarized Transactions, then the application displays bill lines across
all products as separate line items.
◦ For coverage products, the application displays all the rolled-up bill lines from all active covered levels in
the billing summary region of the coverage product.
◦ For covered levels, the application displays all the bill lines of the covered level on the covered level billing
summary page.
All detailed bill lines are interfaced with Accounts Receivables.
Related Topics
• Overview of Subscription Billing
• Subscription and Coverage Products
• Usage-Based Subscriptions
Schedule Product Changes

You can schedule an automatic product change by navigating to the Edit Product Summary tab, at any point in the
subscription life cycle. You can change the subscription product using:
• Next renewal date
• Next price change date
• A specific date assigned by you
When you change a subscription product based on a date, you can even select the date in the middle of a recurring
billing period, with a prorated partial period.
Here are the schedule processes that the application uses to schedule an automatic product change based on the
option you select in the Apply Change field:
• Automatically Renew Eligible subscriptions
This scheduled process performs product change when you select the Next renewal date option.
• Schedule Product Change
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This scheduled process performs product change when you select the Next price change date or From option.
You can schedule a product change in every condition except when a subscription product is:
• Scheduled for amendment in the future

• Scheduled for termination in the future
• Scheduled for suspension in the future
• Already renewed
Note: This feature is only supported with Oracle Pricing.
How can I associate assets with subscriptions?

This topic contains details on how to associate assets with subscriptions.
After you enable the Associated Assets subtab on the Edit Product page, subscription users can capture the details of
assets on a subscription. This lets them easily identify which devices are using a subscription product.
To enable the ability to associate assets with subscriptions:
1. Navigate to the Setup and Maintenance work area.

2. Select the Sales offering and click Change Feature Opt-In.
3. On the Opt-In page, select Subscriptions and click the Edit Features icon.
4. On the Edit Features page, select the Enable option for the Associate Assets with Subscriptions feature. If the
Enable column includes an Edit icon instead of a check box, then click the icon, select your feature options, and
click Save and Close.
5. Click Done.
To associate a new asset with a subscription:
1. On the Edit Product page of a subscription product, click the Associated Assets subtab.
2. Click Add Assets.
3. Search and select the asset from the Search and Add: Assets page.
4. Click OK to associate the selected asset with the subscription product.
To add multiple child assets to a covered level:
1. While adding an asset, click on the hierarchy icon in last column of the popup window.
2. Select the parent and child assets.
3. Save the changes.
Note: The Associated Assets subtab is only enabled for products that are marked as subscription-type sales products
in Product Information Management's Order Management attribute.
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Add Early Termination Fees

You can add early termination fees on a subscription or coverage product to charge customers when they terminate a
subscription. Here's how:
1. Go to the Subscriptions page.

2. Select a product to go to the Edit Product page.
3. From the Early Termination Penalty drop-down list, select either:
◦ Flat fee
◦ Prorated flat fee
◦ Percentage of the remaining term fee
4. Optionally, enter a value in the Grace Period in Days field.
Note: You can't set a grace period that's beyond the subscription end date.
About Early Termination Penalty Fees

Early termination fees are of three types:
• Flat Fee
Applies a fixed amount as an early termination fee.

• Prorated flat fee
Applies a prorated flat fee based on the duration of an active subscription. For example, let's say a customer
has a subscription for 12 months and an early termination fee of $120. Then, the customer cancels after 4
months. The applicable penalty fee is $80. Similarly, a customer who cancels after 11 months pays $10.
• Percentage of the remaining term fee
Applies a percentage fee for the remaining term. For example, a customer has a subscription for 12 months,
an early termination fee of $50, and the percentage fee is 50 percent. Then, if the customer cancels after 4
months, they pay $200. Similarly, a customer who cancels after 11 months pays $25.
Note: You can only use this option with recurring price charge definitions that are not usage charges.
Use Grace Period in Days to let your customers terminate a subscription within the specified number of days. The
application doesn't apply the early termination fee when the subscription is terminated within the grace period duration
specified by you.
After you close a subscription product, go to Billing Summary to see the early termination fee. By default, the
application displays the Charge Name field displays as Penalty Fee when the value of the subscription profile is blank.
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Here are some things to keep in mind:
• You can't use an early termination fee for an evergreen subscription.

• You must specify the subscription end date to enable termination fee fields.
Related Topics
• Evergreen Subscriptions
Assign Subscriptions to Other Users

You can assign subscriptions to other users so that they can review the subscriptions.
1. Click Actions > Assign User.

2. Select the assignee.
3. Optionally, select whether the assignee must be notified about the assignment.
To remove a user as an assignee, click Actions > Remove Assigned User.
Manage Parties and Contacts

Do you want to add multiple parties and contacts to your subscription? Use the Parties subtab in your subscription to
add and manage these.
1. Navigate to the Parties subtab.

2. Click Add Party.
3. Select the party role. This is customer by default.
4. Select the party name.
Similarly, you can add contacts.
1. Click Add Contact.

2. Select the contact role. This is the customer contact.
3. Select the contact name.
Notice that your primary party is already listed here as a read-only record. You have the option to update or delete
additional records that you have added.
Related Topics
• What makes up a subscription?
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Manage Team Members

Do you want to add new or manage the existing resources and customer contacts associated with your subscription?
Use the Team subtab in your subscription to add and manage these.
1. Navigate to the Team subtab.

2. Click Add Team Members.
3. Select the role of the team member.
4. Select the name of the team member.
5. Optionally, select the Owner check box to indicate if team member needs additional privileges.
6. Optionally, click the Delete icon to remove a team member from the subscription.
Manage Sales Credits

Do you want to allocate sales credits to salespeople? Use the Sales Credits subtab in your subscription to create a sales
credit by capturing the credit type and the amount of credit that a salesperson receives.
1. Navigate to the Sales Credits subtab.

2. Click Add Sales Credits.
3. Select the name of the salesperson.
4. Select the credit type you're assigning to the salesperson. The total percentage of each sales credit type must
equal 100 percent.
5. Enter a value in the Percent field.
6. Optionally, click the Delete icon to remove a team member from the subscription.
Create On-Account Credit Memos

You can use the Credit Memo Option field from the subscription profile page to automatically create on-account credit
memos during closure or amendment of subscriptions.
The Credit Memo Option field has 3 values:

• On-Invoice: The application creates a credit memo with reference to the subscription bill line invoice,
irrespective of whether invoice is paid or not.
• On-Account: The application creates an on-account credit memo irrespective of whether the invoice is paid or
not.
• Mixed: The application creates a credit memo with reference to the subscription bill line invoice if the invoice
isn't paid or creates an on-account credit memo if the invoice has been paid.
The application checks whether the invoice impacted by amendment or closure has been paid in full or not. It then
creates a credit memo based on the Credit Memo Option field value.
You can issue on-account credit memos from Subscription Management based on the subscription profile. This lets you
preferentially create on account credit memos and credit memos against invoices based on whether an invoice is paid in
full.
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Things to Remember:
• The Allow overapplication property of a transaction type defined in Accounts Receivable is not considered in
Subscription Management.
• If the invoice is not paid by the time credit memo line is interfaced to AR, but paid before the actual CM is
created, the overapplication error may occur. You can either configure to allow overapplication or reduce the
credit memo amount and import it again.
• If there are multiple credit memos created from different subscriptions/subscription products of same
subscription in one batch and applied against an invoice. the overapplication error may occur. You can either
configure to allow overapplication or reduce the credit memo amount and import it again.
• If you change the subscription profile "Credit Memo Option" value to "On Account" after some On Invoice credit
memos have been issued, you can’t issue the credit memos again.
Override Close Credit Amount

When a subscription is terminated, you can use the Calculated Credit Amount field to view the credit amount issued to
the customer and override that amount using the Override Credit Amount field.
The Calculate Credit Amount is a read-only field available at the level of subscription, product, and covered levels.
If you want to override this amount, here’s how the overridden credit amount for each credit memo bill line is calculated:
Overridden Credit Memo Bill line amount = Original Credit Line Amount X Overridden Credit Amount/Calculated Credit
Amount
Let's consider a subscription product starting 1 Aug 2021 with a duration of 4 months and a $1000 monthly charge.
Here's the billing summary for this subscription:
Period Charge Bill-from Date Bill-to Date Amount Interfaced
1 Monthly Fee 1-Aug 21 31-Aug 21 1000 Yes
2 Monthly Fee 1-Sep 21 30-Sep 21 1000 Yes
3 Monthly Fee 1-Oct 21 31-Oct 21 1000 Yes
4 Monthly Fee 1-Nov 21 30-Nov 21 1000 Yes
If you close this product on 16-Oct 21 with Prorate with credit, the application will create credit memos against two billing
lines. Here’s the billing summary:
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3 Monthly Fee 16-Oct 21 31-Oct 21 -516.13
4 Monthly Fee 1-Nov 21 30-Nov 21 -1000
The credit for the partial period between 16-Oct-21 – 31-Oct-21 will be $516.13, and for 1-Nov-21 to 30-Nov-21 will be
$1000 The total credit issues would be $1516.13
If you choose to override credit in this case and enter 1000 as the override credit amount then the billing summary
would look as follows:
Period Charge Bill-from Date Bill-to Date Amount Interfaced Comments
3 Monthly Fee 16-Oct 21 31-Oct 21 -340.43 1000/1516.13*516.13
4 Monthly Fee 1-Nov 21 30-Nov 21 -659.57 Yes 1000/1516.13*1000
In this example, the overridden credit amount will proportionally change the amount for credit memo bill lines.
Things to Remember
• The value in the Override Credit Amount field can’t be negative.
• You can't override the credit amount with another amount if the calculated credit amount is 0.
• You can override the credit amount for those subscriptions that either the Prorate with Credit or Full Credit
credit methods.
• If the Override Credit Amount values is 0, no credit will be issued.
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Using Subscription Management Manage Subscriptions
5 Manage Subscriptions
Validate Subscriptions
Validate your subscription to review warnings and fix errors. You must correct all errors; fixing warnings is optional.
After resolving the errors, activate the subscription.
You can validate your subscription at any time during subscription creation by clicking Actions > Validate.
It's a good practice to validate your subscription before submitting it for activation. Here's a quick guide on what to look
for in your subscription:
• You have entered all the mandatory information on the subscription and the subscription coverage product.
• Effective dates of the subscription line are within the effective dates of the subscription.
• The subscription line is priced appropriately and the billing schedule reflects the latest updates on all the
attributes and pricing of the subscription line.
Manage Validation Message Rules

You can enable, disable, or control the severity of new validation rules according to your business needs.
To manage subscription, product, or covered level validations:
1. Navigate to the Subscription Configuration Page and click Manage Validation Message Rules.
2. On the Validation Message Rules page, enable or disable validations or change the severity of validations as
needed.
Related Topics
• Subscription Tasks and Actions
Approve Subscriptions
A subscription needs approval before it's executed.
Here are a few tasks you can complete before you submit a subscription for approval:
• Review the subscription.
• Validate the subscription.
• Review approvers and add viewers and approvers as required.
• Pass the subscription between teams for review.
• Preview the subscription.
Here's the subscription approval flow:
1. The administrator sets up the approval policies and approver groups.
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2. You submit the subscription for approval.

3. The applications sends notifications about the approval.
4. The approvers can view the subscriptions that are pending approval.
5. The approvers review the subscription. A review may include:
◦ The approver requests more information.
◦ The application sends the approval request to the next approver in the hierarchy.
◦ The approver delegates subscription approval.
◦ The approver transfers the subscription to another approver.
6. The customer accepts the subscription or requests changes.
7. The approver approves or rejects the subscriptions.
Set Up Approval Policies

The business analysts or administrators set up approval policies.
Submit a Subscription for Approval

Validate the subscription before submission or the application automatically validates the subscription when you submit
it, listing any errors and warnings. You must fix the errors, but you can ignore the warnings and continue with the
submission.
Withdraw a subscription from the approval process to make any changes before it's approved. If you withdraw the
subscription from approval, the subscription status changes to Draft so that you can make changes and resubmit it.
Send Automatic Notifications to Approvers

The application automatically sends notifications to approvers when you submit a subscription for approval. If you
include a note while adding an approver, then the application displays the note along with the approval notification.
Preview a Subscription
You can view the subscription in a user-friendly preview format. To view or edit the default layout template of the
subscription preview, create a new layout template or modify an existing template and add attributes from a list of
available subscription attributes. Preview the templates from the UI action or using the REST service.
Approve or Reject a Subscription

Approve or reject a subscription after a complete review of the subscription. Optionally, add comments to explain why
you approved or rejected a subscription.
When you reject a subscription, its status changes as follows:
• If the contract was Pending Approval, its status changes to Draft.

• If a version of the subscription was already Active, and its next version was Pending Approval, its status
changes to Under Amendment.
Accept a Subscription or Request Changes

Accept a subscription if you agree with the terms and conditions, and all of its contents. If you want any changes, reject
the subscription and request changes. If you reject a subscription, its status changes to Draft or Under Amendment.
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Move Subscription to Active Status without Approvals

As a subscription specialist, you can move subscription to Active status without any approval notification or approval
workflow setup:
1. Search for Draft or Under Amendment subscriptions using the subscription number.
2. Navigate to the Renewal Controls subtab and set Internal Approval to Not Required.
3. Submit the subscription. If there are no validation errors, your subscription automatically moves to Active
status.
4. If there are any validation errors, go back and correct them and then re-submit.
Note: The approvals process uses the server time, which is UTC timezone. This means that the approval date reflects
the UTC timezone.
Related Topics
• Subscription Tasks and Actions
How do subscriptions automatically or manually renew?

You can set up subscriptions to automatically renew or you can manually renew them.
You can manually renew a subscription when the subscription is in either the Active or Expired status.
1. In the Subscriptions page, open a subscription and click Actions > Renew.
2. On the Renew Subscription page, enter the new subscription number.
3. Click Save and Continue.
Your renewed subscription is created according to the configured subscription profile. When one-time charges are
associated with your subscription, these charges are placed into your new subscription. You can also see the source
and any renewed subscriptions in the Relationship subtab, which is included in the renewal rules template. This means
that the general information in that subscription profile is used to renew the subscription. For example, the billing
frequency will be taken from that subscription profile included in the renewal template. If you need to manage the
billing frequency separately, the subscription profile should be removed from the renewal template.
Note: You can override renewal settings at the covered product level. For example, when you select Do not renew at
the product level, then -- upon renewing a subscription -- the renewed subscription doesn't contain that product.
You can also set up your subscriptions for automatic renewal. You must have setup and administrator privileges to
perform this action.
1. From the Navigator, select Scheduled Processes.

2. On the Scheduled Processes overview page, click Schedule New Process.
3. Select Automatically Renew Eligible Subscriptions.
4. Click OK.
5. Select your business unit and click Submit.
Go to the Renewal Controls subtab to override renewal settings on the renewal rules template. This table describes the
combinations of renewal process, customer acceptance, and internal approval criteria:
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Renewal Process Customer Acceptance Required Internal Approval Description
Automatic Not required Not required The application renews and

activates the subscription.
Automatic Not required Required The application renews the

subscription and then sends it to
an internal approver for approval.
Automatic Required Required/Not required The application renews the

subscription and leaves it in the
subscription administrator's
queue for further action. You
can configure event notification
rules to automatically send the
subscription to the customer for
acceptance.
Manual Required/Not required Required/Not required The application renews the

subscription and leaves it in the
subscription administrator's queue
for further action.
Do not renew N/A N/A The application doesn't renew the

subscription.
You can control which renewal period is used by the automatic renewal process on the Edit Renewal Rules Template
page.
Example of a One-Month Subscription

Consider the following example of a one-month subscription:
Duration of Existing Subscription Minimum Renewal Duration Renewal Duration Renewal Period
1 Month 60 Days 1 Year
By default, the subscription is automatically renewed for either the minimum renewal duration or the duration of the
existing subscription, whichever is greater. In this case, the automatic renewal process will renew the subscription for 60
days. You can select the Use renewal term for automatic renewal check box to override this default. When selected,
the automatic renewal process uses the Renewal Duration and Renewal Period values for the automatic renewal. In this
case, the subscription will get automatically renewed for a period of 1 year.
Override Renewal Duration
You can override the renewal duration for subscriptions and subscription products, even if they are renewed
automatically. You can use the Renewal Duration and Renewal Period fields from the Renewal Controls tab to override
the automatic renewal duration at the subscription level. This duration is considered as an exception, and a renewed
contract is created.
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Similarly, you can use the Renewal Duration and Renewal Period fields on the Summary tab of the Edit Product page
to override the automatic renewal duration at the product level. This duration is considered as an exception, and a
renewed contract is created for the subscription product.
Automated Renewal Consolidation
Use the Consolidate Subscriptions feature to consolidate all the subscription due to be renewed over a given period
into a single, renewable subscription. The application consolidates all subscriptions that belong to the same business
unit or that have the same legal entity, primary party, pricing strategy, renewal process, or currency. When both your
source and target subscriptions have the same service, the covered levels are consolidated into a single line in the target
subscription.
Use the Consolidate Subscriptions option in the renewal rules template to consolidate subscriptions during the renewal
process.
In the renewal rules template, you can use the Renewal Consolidation Grouping section to select criteria for merging two
or more renewal subscriptions. The application performs subscription consolidation based on the default grouping rules
and the rules selected by you.
Here are the grouping rules that the application uses by default:
• Business Unit
• Primary Party
• Legal Entity
• Currency
• Pricing System
• Renewal Process
Here are the grouping rules that you can select:
• Billing Account
• Bill-to Site
• Ship-to Party
• Ship-to Site
• Price Adjustment Type
• Payment Method
Note: In the case of Automated Renewal Consolidation, custom field values for the Subscription header, product,
and covered level aren't carried over into the newly created subscriptions. Custom fields only get carried over when
"Consolidate subscriptions" is unchecked under Subscription Configuration > Renewal Rules Template.
Coterminate
Use the coterminate feature to align the end dates of the renewed line. You can set the end dates of all the eligible lines
to the latest end date, and the target subscription is also adjusted according to the latest end date of the subscription
lines.
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Renew Included Warranty

You can use the Renew action available for an included warranty and renew it to an extended warranty. You can
manually renew an included warranty when the subscription is in the Active status.
1. Open an included warranty subscription.
2. Click Actions > Renew
3. On the Renew Subscription window, enter a value in the Renewal Duration and Renewal Period field.
Once you renew an included warranty subscription, it's created in the draft status. You can navigate to the Relationship
tab to find the included warranty subscription used to renew the new subscription in the draft status.
Note: Coverage products can only be renewed when they're mapped to an extended warranty item in Product
Information Management.
Related Topics
• Set Up Included Warranty Renewal
Communicate Subscription Renewal Information

You can manually send an email reminder or attachments to the customer.
Click Actions > Email to open the Email Subscriptions page. Here you can compose an email for your customer. To add
attchments to your email, you can either drag and dop the attachment into the email window or browse for a file.
Related Topics
• How do I create and manage subscription renewal templates?
• Create Subscription Rules
Review Churn Probability

Churn probability is the probability expressed in percentage for a customer to discontinue the service or subscription.
You can use the Churn Probability field on an Edit Product page to:
• Identify the churn probability for a subscription product.

• Calibrate the top drivers contributing to the churn.
• See how the churn probability has changed since the last time it was calculated.
Based on these factors, you can predict customers who are likely to churn and create opportunities for cross-selling and
up-selling.
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Your administrator can set up a predefined model to predict the churn probability of a subscription product. Built on
Oracle Data Mining, the predictive model uses current and historical indicators to predict the churn. You can use the
Train with Historical Data and Predict Churn Probability scheduled process to train the churn prediction model with
historical data and predict the churn probability of a subscription product. The objective of this scheduled process is to:
• Rebuild the selected predictive models.
• Make predictions based on scores derived during the build process.
After running the Train with Historical Data and Predict Churn Probability scheduled process, navigate to the
Edit Product page and click the Churn Probability field to see the top drivers affecting the churn probability of a
subscription product. The change in probability is displayed using up or down arrows every time you run the Train with
Historical Data and Predict Churn Probability scheduled process. A green arrow indicates that the rate of churn has
decreased, and a red arrow indicates that the rate of churn has increased.
How do I amend subscriptions?

You can use the Amend action to update several aspects of an active subscription. Among the tasks, you can amend
subscription products and coverage products in active or expired status.
You can use the amend feature to:

• Upgrade or downgrade subscription products
• Change products
• Change subscription quantity
• Change terms
• Change billing address
• Copy custom child objects
• Manage charges
Here are the actions that don't create a new line when you amend a product:
• Change payment method
• Change billing owner or customer contact
• Change tax control
• Change renewal options
Note: When you delete an Under Amendment coverage product line, the original product and the subscription move
back to the Active status.
To amend a product:
1. Select the product to go to the Edit Product page.
2. Click Actions > Amend.
3. Edit the line number, effective date, amendment reason, amendment description, and credit method.
4. From charges options, you can select these options to manage charges for an amended subscription:
◦ Copy custom child objects
◦ Don't copy charges and adjustments
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◦ Copy charges:
- Include adjustments
- Include one-time charges
Note: If you want to copy charges but don't select the Include adjustments check box, any original adjustments,
including discounts from the source line, aren't carried forward to the target line.
Here's what happens next:

• The application creates a new draft product line for the amended product line.
• The application takes to you summary page of the new product. You can select a new product or retain the
existing product.
• The pricing details aren't defaulted from the source product, so you need to manually reprice the new draft
product.
• After you have repriced, the application generates the pricing and billing schedules. The start date of the new
product is the amendment effective date, and the end date syncs with the subscription header end date and
term.
• Activate the subscription after you have reviewed all the changes.
When you activate the subscription, the application:
• Terminates the current product line and activates the new product.
• Generates the credit memo records for the source products, based on the amendment effective date and
amendment credit method.
• Moves the source product to a closed status and stops all future-dated billing schedules from the source
product billing summary.
The Relationship subtab displays the Amended From and Amended To details on the new product line and old product
line, respectively. You can drill down to the source line detail page. All fields on this page are read-only.
To revert an amendment you can delete the new line in draft status. After you delete the draft product, the other
product that was under amendment becomes active again.
Here are a couple of scenarios that describe the lifecycle statuses of the current and new coverage product lines.
Amendment Effective Date Current Line New Line
Past Date/System Date 1. Under Amendment status, when the 1. Draft status, initially
amendment is saved 2. Pending Approval status, when the
2. Pending Approval status, when the subscription is sent for approval
subscription is sent for approval 3. Active status, when the amendment is
3. Terminated status, when the amendment approved
is approved
Under Amendment status, when the

amendment is rejected
Future Date 1. Under Amendment status, initially 1. Draft status, initially

2. Pending Approval status, when the 2. Active status, when the amendment is
subscription is sent for approval approved
3. Terminated status, when the amendment
is approved
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Amendment Effective Date Current Line New Line
Under Amendment status, when the

amendment is rejected
The line exists independently, in Active status,
until the amendment effective date. On the
amendment effective date, the line moves to
Terminated status.
Related Topics
• Subscription Amendments
• Subscription Termination
• Create and Manage Subscription Event Notification Rules and Template Sets
• Enable Revenue Management Rules
Duplicate Subscriptions
Let's say you want to create a subscription that reuses a lot of information from a current subscription. Here's how to
duplicate a subscription:
1. Open the subscription you want to duplicate.

2. Click Actions > Duplicate Subscription.
3. On the Duplicate Subscription page, enter the required information.
You can retain dates, primary and other party information, and product line information from the original
subscription
4. Click OK.
The application creates a new subscription with the information you provided. Unless you choose to update the
information, the application retains the information from the source subscription.
Field Consideration
Subscription header The application copies the subscription number, customer name, bill-to account, bill-to site, start and
end date, and duration fields to the new subscription.
Team The creator is added as a team member.
Contacts The application doesn't copy the contacts that aren't valid for the selected customer.
Lines The application copies the start and end date of the lines from the subscription header.
Covered assets The application copies the start and end date of the covered assets from the subscription header.
Additional parties The application copies all the records to the duplicate subscription.
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Field Consideration
Renewal controls The application copies all the records to the duplicate subscription.
Duplicate Products
Duplicate subscription products to create new products in your subscription.
1. Select the appropriate product.

2. On the Edit Product page, click Actions > Duplicate Product.
3. Enter the new number associated with the product and click OK.
The application creates a new subscription product line. Unless you choose to update information, this table
demonstrates the fields that are copied from the source line.
Field Consideration
Covered assets The application copies the start and end date of the covered assets from the subscription header.
Pricing term The application copies all the records from the source line.
Related Topics
Adjust Ad-Hoc Bills

Ad-hoc adjustments may be required during the subscription execution/billing process for many reasons. Some
examples are:
• Usage corrections credits or additional charges.
• Issue ad-hoc credits to customers, such as customer appreciation, reimbursement for non-usage of service for
a specific period, and so on.
• Issue ad-hoc penalty.
• Issue ad-hoc discounts for missed service-level agreements.
Manage Multiple Subscriptions

Instead of managing each subscription individually, you can click Actions and select these operations to manage
multiple subscriptions at once:
• Close
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• Cancel
• Update
• Suspend
• Resume
Once you perform any of these actions, the application updates the subscription header and product statuses based on
the business rules.
Note:
• Your subscription application must be configured to use this functionality. Contact your help desk if this feature
isn't available. Your application administrator can enable this feature using Application Composer.
• We recommended you to update up to 50 Subscriptions at once. However, you can manage up to 500
subscriptions using the Maximum Number of Subscriptions to Update profile option.
• You can use the Advanced Search filter to easily and quickly search subscriptions that you want to manage.
Close Multiple Subscription

You can only use the Close action for subscriptions in the active, on hold, or expired status. The application lets you
close multiple subscriptions associated with different customers.
When you close multiple subscriptions, product lines in the canceled, closed, closed with a future date, suspended,
active but suspended with future date status remains unaffected.
To close multiple subscriptions at once:
1. Navigate to the Subscription landing page.

2. Select Actions > Close.
3. To select multiple subscriptions, press and hold the Ctrl key, select the required rows, and click Close.
4. On the Close Subscriptions page, select a close date, close reason, and close credit method.
5. Click Submit.
Once you submit the request, the application runs the Update and Reprocess Multiple Subscriptions scheduled process.
Cancel Multiple Subscriptions

You can only use the Cancel action for subscriptions in the draft status. The application lets you cancel multiple
subscriptions associated with different customers. Canceling multiple subscriptions only impacts the product lines in
the draft status. The product lines in the canceled status remain unaffected.
To cancel multiple subscriptions at once:

2. Select Actions > Cancel.
3. To select multiple subscriptions, press and hold the Ctrl key, select the required rows, and click Cancel.
4. On the Cancel Subscriptions page, select a canceled date and cancellation reason.
5. Click Submit.
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Update Multiple Subscriptions

You can only use the Update action for subscriptions in the active, expired, or draft status. The values you update in a
subscription are automatically cascaded to associated subscription products and covered levels.
Note: Your subscription application must be configured to use this functionality. Contact your help desk if this feature
isn't available. Your application administrator can enable this feature using Application Composer.
To update multiple subscriptions at once:

2. Select Actions > Update.
3. To select multiple subscriptions, press and hold the Ctrl key and select the required rows.
4. Click Update.
5. In the Update Fields section, select the fields you want to update, and for every selected field, assign a value.
6. Depending on the field you select, you can either select the prepopulated value or enter a value of your choice.
Note: Note: If you select the Bill-to Account field to be updated, you must also update Bill-to Site. If you
select the Ship-to Party field to be updated, you must also update Ship-to Site.
7. To add more rows, click Add icon or click the Remove icon to delete a row.
8. Optionally, you can configure amendment information for the subscriptions in the active or expired state.
9. Click Submit.
Suspend Multiple Subscriptions

You can only use the Suspend action for subscriptions with both subscription header and product lines in the active
status. The application lets you suspend multiple subscriptions associated with different customers.
To suspend multiple subscriptions at once:

2. Select Actions > Suspend.
3. To select multiple subscriptions, press and hold the Ctrl key, select the required rows, and click Suspend.
4. On the Suspend Subscriptions page, enter the suspend date and suspend reason.
5. Optionally, you can also enter the required resume details.
6. Click Submit.
Resume Multiple Subscriptions

You can only use the Resume action for subscriptions in the active status. The application lets you resume multiple
subscriptions associated with different customers..
When you resume multiple subscriptions, the product lines in the canceled, closed, closed with a future date, on hold,
active, and expired status remains unaffected. Resume action is only applicable to the product lines in the suspended
and active status.
To resume multiple subscriptions at once:
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2. Select Actions > Resume.

3. To select multiple subscriptions, press and hold the Ctrl key, select the required rows, and click Resume.
4. On the Resume Subscriptions page, enter the required information.
5. Click Submit.
Reprocess Failed Subscriptions

You can reprocess the subscriptions that fail during subscription reprice, billing schedule generation, or subscription
activation by:
• Manually running the Update and Reprocess Multiple Subscriptions scheduled process.
• Scheduling this process to run periodically.
To manually run the Update and Reprocess Multiple Subscriptions scheduled process:
1. Go to Navigator > Tools > Scheduled Processes.

2. On the Scheduled Processes page, click Schedule New Process.
3. On the Schedule New Process window, make sure the Job option is selected.
4. Enter Update and Reprocess Multiple Subscriptions in the Name field and click OK.
5. Click Submit.
By default, the Update and Reprocess Multiple Subscriptions scheduled process includes the unprocessed draft
subscriptions from the past 30 days. You can change the number of days by entering a new value in the Days to
Reprocess past Subscriptions field while manually running the scheduled process.
Activate Selective Products

You can use the Pending activation check box on the Edit Product page to selectively activate products in a subscription.
Select the Pending activation check box in the Summary tab only for products you don't want to activate when you
activate a subscription.
When you activate a subscription that has products with the Pending activation check box enabled:
• The subscription status changes to under amendment.

• The application assigns the draft status to products in the pending activation status. This enables you to make
necessary changes to these products.
Subsequently, you can deselect this check box to activate these products.
You can use this feature to support:
• Partial fulfillment use cases wherein subscription products must be activated as orders are fulfilled.
• Selective activation of subscription products based on their provisioning dates.
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Manage Subscription Approval Notifications

The application automatically sends a notification to the approver when a subscription is submitted for approval. The
approver can use this notification to access the subscription approval page to view the subscription details and perform
necessary actions.
Here are the actions you can perform as an approver:

• Approve
• Reject
• Request Information
• Submit Information
• Add Comment
• Add Attachments
• Add Assignee
• Delegate
• Reassign
• Withdraw
• Escalate
• Suspend
• Resume
• Skip Current Assignment
• View Approvals
The default report contains the necessary information about the subscription and a link to the Subscription Details
page. You can configure the content and layout of various sections of this BI Publisher report using RTF templates
(layout changes) and the BI Data model (content changes). Here are some modifications that you can do to the default
report:
• Logo Configuration: Used to modify the brand logo in the header.
• Title Configuration: Used to configure workflow notification title.
• Body Configuration: Used to add or remove attributes in the report and add new columns to the existing tables
in the report.
• Footer Links Configuration: Used to hide, approve, or reject links in the notification email.
• Style Configuration: Used to style the report with different fonts and colors.
Update Multiple Products and Covered Levels

The Update Product action lets you mass update multiple attributes of selected product lines and covered levels within
a subscription. You can use this functionality only when your subscription has at least one product line in the draft
status.
76
Note:
• The application doesn't automatically cascades all subscription attributes values to the associated subscription
products.
• Your subscription application must be configured to use this functionality. Contact your application
administrator if this feature isn't available. Your application administrator can enable this feature using
Application Composer.
The Mass Update page comprises of these sections:
• Update Fields: Select the fields to be updated and provided the updated values.
• Products and Covered Levels > Search: Search for the products to be updated. Products can be subscription
products or coverage products.
• Products and Covered Levels > Search Results: Select the products to be updated.
To mass update products or covered levels:
1. Open a subscription in the draft status and go to the Summary page.

2. Select Actions > Update Products.
3. In the Update Fields section, select the fields that you want to update, and for every selected field assign a
value.
Depending on the field you select, you can either select the prepopulated value or enter your own value.
Note: If you select the Bill-to Account field to be updated , you must also update Bill-to Site. If you select
the Ship-to Party field to be updated, you must also update Ship-to Site.
4. To add more rows click Add. Click the Remove icon to delete a row.
5. Optionally, use the Search region, to search for products or covered levels.
6. By default, the Search Results region shows all the available products and covered levels. If you use a search
criteria, the list shows results based on the search criteria.
7. Click a row to select the product you want to update. To select multiple rows, press and hold the Ctrl key and
select the required rows.
If you want to select a product and all its covered levels, click the Group Select option.
8. Click Submit.
9. Click Done on the Update Results page. Here you see a summary of updates made by the application.
The application updates all the selected rows with the values provided by you. If you change any of the billing attributes,
the application regenerates the billing schedule. These billing attributes include: Billing Frequency, Billing Account,
Classification Code, and Offset.
Manage Credit Cards

Here's how you can add a credit card to a subscription product:
1. Navigate to the Subscription details page.

2. From the Products section, select a product.
3. On the Edit Product page, click the Summary subtab.
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4. In the Payment Method field, select Credit Card.

5. Click the credit card link.
6. On the Manage Credit Cards page, click Add Credit Card.
7. Select a credit card from the list of values.
Here are a few things to know about adding a credit card:
• The application displays all credit cards associated with a customer account and related accounts. You can add
only one credit card per subscription product.
• The application copies the payment method and credit card details to the new subscription product upon
renewal.
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Using Subscription Management

Copyright © 2018, 2023, Oracle and/or its affiliates.

Author: Carmen Myrick

Get Help ................................................................................................................................ i

1 About This Guide 1

3 Subscription Pricing and Billing 23

Enable Proration of One-Time Charges .................................................................................................................................. 37

4 Create and Update Subscriptions 47

Manage Multiple Subscriptions ................................................................................................................................................. 72

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1 About This Guide

Audience and Scope

These may be important references as you use Enterprise Contracts:

Overview of Oracle Subscription Management

Subscription Management helps you:

• Create subscriptions using the UI, REST services, or import processes.

Overview of Creating a Subscription

What makes up a subscription?

Subscription Summary Tab

Product Summary Tab

Renewal Controls Tab

Default Coverage Tab

• Default Level Value

• Tax exemption certificates

Renewal Controls Page

Sales Credits Page

Subscription and Coverage Products

1. Add a usage-based subscription product to the subscription.

Use coverage-based services to:

• Create and manage included and extended warranties.

• An asset with another asset

What's the subscription lifecycle?

Here are the predefined statuses:

• Draft: The initial status of the subscription.

Actions for Draft Subscriptions

Activate Active Add subscription line Draft

Preview No change Update subscription line Draft

Reprice No change Reprice line Draft

Regenerate Billing Schedule No change Regenerate Billing Schedule Draft

Cancel Canceled Cancel Canceled

Actions for Subscriptions Under Amendment

Activate Active Add subscription line Draft

Email No change Amend subscription line (only if Under amendment

Preview No change Delete subscription line (only if the NA

Validate No change Reprice line (only if the line is draft) Draft

Validate No change Regenerate billing schedule (only if Draft

Validate No change Cancel (only if the line is draft) Canceled

Validate No Change Close (only if the line is active or Closed

Actions for Subscriptions Pending Approval

Withdraw Under amendment (if the previous NA NA

Withdraw Draft (if the previous state was NA NA

Actions for Active Subscriptions

Renew Active Add subscription line Draft