Oracle Fast Formulas - Chapter 9: Different Formula Types in Oracle Fusion

  

Chapter 9: Different Formula Types in Oracle Fusion

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Objective of This Chapter

This chapter explains the different types of Fast Formulas available in Oracle Fusion and how each type is used based on the requirement.

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Why Different Formula Types

• Oracle Fusion offers specialized formula types to solve specific business needs.

• Each formula type operates in a particular module like Payroll, Absence, Benefits, etc.

• Knowing the correct type improves formula efficiency and system performance.

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Main Formula Types

Formula Type	Usage
Payroll	Calculates earnings, deductions, payroll values
Absence	Calculates absence eligibility, validations, accruals
Benefits	Calculates benefit eligibility, rates, validations
Compensation and Workforce	Calculates variable compensation, salary rules
Fast Formula Database Item Definition	Creates custom database items
Object Group Population	Selects people based on formula conditions

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Payroll Formulas

• Used to calculate salaries, deductions, bonuses.

• Example: HRA Calculation Formula, Tax Deduction Formula.

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Absence Formulas

• Used in Absence Management for eligibility and accruals.

• Example: Paid Leave Eligibility based on service duration.

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Benefits Formulas

• Used in Benefits Enrollment and Plan calculations.

• Example: Medical Plan Eligibility based on age or designation.

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Compensation and Workforce Formulas

• Manage variable pay plans or merit increases.

• Example: Bonus calculation based on performance ratings.

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Fast Formula Database Item Definition

• You can create a formula to define a custom database item.

• This item can then be used in other formulas without re-calculation.

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Object Group Population Formulas

• Selects people dynamically for processes like payroll runs.

• Example: Select employees for Bonus payout who have service > 5 years.

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Key Points to Remember

Tip	Importance
Always choose correct formula type	Wrong type can cause calculation errors
Formula type cannot be changed later	You must create new formula if needed
Check module-specific contexts	Different types provide different contexts
Validation depends on type	Ex: Payroll formulas require 'RETURN' values

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Simple Example

Payroll Formula for Transport Allowance:

 
transport_allowance = 2000
RETURN transport_allowance

Absence Formula for Annual Leave Eligibility:

 
IF years_of_service > 1 THEN
  eligible = 'Y'
ELSE
  eligible = 'N'

RETURN eligible

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Mini Practice Quiz

1. Which formula type is used for payroll calculations?
   A Absence
   B Payroll
   C Benefits

Answer: B Payroll

2. Can you change the formula type after creation?
   Answer: No

3. Which formula type is used to create a custom database item?
   A Payroll
   B Benefits
   C Database Item Definition

Answer: C Database Item Definition