Differentiates between a Party and Customer in Oracle Apps

In AR (Account receivables) or TCA (Trading community architecture), we usually comes across two common terms, party and customer. Though both link each other still there are always confusion, below is the difference between party and customer.

PARTY	CUSTOMER
Prospective Customer and more relevant for CRM Purposes	A Customer which is used both in CRM as well as in OM, Financials or any other module Example (A Sales Order in OM or Invoice in Receivables cannot be created without creating a Customer record for the Party).
No Business Transactions involved (Sales Order, Sales Invoice, Debit Memo, Credit Memo, Receipt etc.,)	A Business Transaction like a Sales Order, Invoice, Debit Memo, Credit Memo,Receipt can be created.
A Party does not have account but have Sites	A Customer will have account and as well as Sites.
A Party can exist without Customer Record	A Party record is must to create a Customer Record linked through party_id.
A Party Record will have record in following tables HZ_PARTIES HZ_PARTY_SITES  HZ_PARTY_RELATIONSHIPS	A Customer Record will have records in following tables     HZ_CUST_ACCOUNTS     HZ_CUST_ACCT_SITES_ALL     HZ_CUST_SITE_USES_ALL     HZ_CUST_ACCOUNT_ROLES     HZ_CUST_ACCT_RELATE_ALL      with reference to party_id column.

1. Who is the party? 

2. What is meant by Customer account? 

3. What is the necessary for two entities like above? 

4. Where they are used?

I hope the below article will be useful for persons like me, as this difference is mainly based on the module CRM let us have a small gist about it.

CRM is the acronym for Customer Relationship Management. CRM is basically a marketing tool. If you understand the definition of the word “marketing”, you will easily understand the difference between a party and customer. Marketing is the process of identifying, creating and retaining a customer. CRM tools essentially deal with that process. It is used by companies to identify potential customers, make them buy something from the company; maintain effective relationships with them to retain them for repeat purchases as well. This is what CRM does.

You go to Diamond Electronics shop and ask for some information about an electronic item. You are interested to buy, but first you want to get information and decide later. They will show you the item and explain the details and after that they take your personal details, so that they contact you later or it would be easy when you buy later. That’s part of Customer Relationship Management. When they enter in Oracle ERP, You become a party in TCA, not customer because you have not yet decided to purchase.

The same case happens, if somebody from WINTER HOTELS goes to them and tells them that, he is representing WINTER HOTELS and they are planning to buy lot of electronic items to their new hotel. Here, 3 things are entered in Oracle TCA. WINTER HOTELS information, the person (ex: JOHN) who is representative of WINTER HOTELS, and the relationship between that person and the WINTER HOTELS. Here WINTER HOTELS is a party, JOHN is party contact and the relationship is AGENT.

After sometime, you or WINTER HOTELS decided to buy electronics and you go again and make a purchase. That time, you become customer.

Who is Party and how it is used?

A party is anybody that exists. He/She/It does not have to have bought something from the company earlier. In fact, they do not have any relationship whatsoever with the company. But they are ones who has the potential to have a relationship with the organization in future. This is where CRM come into picture. The tool has been used to identify them and create some marketing campaigns to make them buy something and convert them into the company’s customers, and keep maintaining relationships with them.

a) Prospective Customer and more relevant for CRM Purposes 

b) No Business Transactions involved (Sales Order, Sales Invoice, Debit Memo, Credit Memo, Receipt etc.,) 

c) A Party does not have account but have Sites 

d) A Party can exist without Customer Record 

e) A Party Record will not have record in following tables 

Party information are available in the below tables,

HZ_PARTIES

HZ_PARTY_SITES 

HZ_PARTY_RELATIONSHIPS

What is customer account and how it is used?

As said earlier, if the organization marketing campaigns worked and if some of the identified parties become interested and bought a service or product from the organization then comes the customer. Simply when the identified party bought something from our company then first thing we need to create is the customer account for him and then have all transactions related to it. 

a) A Customer which is used both in CRM as well as in OM,Financials or any other module.Example (A Sales Order in OM or Invoice in Receivables cannot be created without creating a Customer record for the Party).
b) A Business Transaction like a Sales Order, Invoice,Debit Memo,Credit Memo,Receipt can be created.
c) A Customer will have account and as well as Sites.
d) A Party record is must to create a Customer Record linked through party_id.
e) A Customer Record will have records in following tables

Customer Accounts are maintained in the below tables,

HZ_CUST_ACCOUNTS

HZ_CUST_ACCT_SITES_ALL

HZ_CUST_SITE_USES_ALL

HZ_CUST_ACCOUNT_ROLES

HZ_CUST_ACCT_RELATE_ALL

With reference to party_id column 

Important Note while merging: 

For Example Party ‘A’ has ‘B’ and ‘C’ two Customer accounts and party ‘X’ has ‘Y’ and ‘Z’ two customer accounts. If you want to merge Customer Accounts ‘B’ and ‘C’ with ‘Y’ and ‘Z’, then first we need to perform Party merge and then perform the customer merge. It operates on the simple logic, First Parent records need to be merged before merging the child records

Oracle Applications R12 Trading Community Architecture ( TCA )

Background

What is TCA?
Oracle Trading Community Architecture (TCA) is a data model that allows you to manage complex information about the parties, or customers.
Trading Community Architecture is the implementation of technology and applications to allow users to create and maintain relationships among entities. It is a way to understand who your customer interacts with inside and outside the enterprise.

The code

PARTIES:

The related tables are as follows:-
HZ_PARTIES : Stores information about parties.
HZ_FINANCIAL_PROFILE : Stores information about the financial accounts.
HZ_CREDIT_RATINGS : Stores information about the credit rating of parties
HZ_REFERENCES : Stores information about reference given by one party about another.
HZ_CERTIFICATIONS : Stores information about the certifications given by other parties.

PARTIES – TYPE PERSON:

The tables are as follows:-
HZ_PERSON_PROFILES : Stores details information about people.
HZ_PERSON_LANGUAGES :Stores information about the language that a person speaks, reads or writes
HZ_PERSON_INTEREST : Stores information about a person’s personal interests.
HZ_ CITIZENSHIP : Stores information about a person’s claimed nationality.
HZ_EDUCATIONS : Store information about a person educations.
HZ_EMPLOYMENT_HISTORY : Stores information about where the person has been employed.

PARTIES – TYPE ORGANIZATION:

The tables are as follows:-
HZ_ORGANIZATION_PROFILES : Stores details information about credit rating, financial statistics, socio-economic and corporate linkage information.
HZ_STOCK_MARKETS :Stores information about the selling and buying of financial instruments.
HZ_SECURITY_ISSUED : Stores information about financial instruments such as stocks and bonds that has been issued by the organization.
HZ_INDUSTRIAL_CLASS_APP : It is a intersection tables that link industrial classifications stores in HZ_INDUSTRIAL_CLASSES .
HZ_INDUSTRIAL_CLASSES : Stores information about names and descriptions of industrial classifications.
HZ_FINANCIAL_REPORTS : Store information details of financial reports that describe the financial status of the party.
HZ_INDUSTRIAL_REFERENCE : Stores information about industrial reference for organization.

CUSTOMER ACCOUNTS:

The tables are as follows:-
HZ_CUST_ACCOUNTS : Stores information about the relationship, if a party becomes a customer. Basically stores information about customer accounts.
HZ_CUST_ACCT_SITES_ALL : Stores information about customer sites. One customer can have more then multiple sites.
HZ_CUST_SITE_USES_ALL : Stores information about site uses or business purpose. A Single customer site can have multiple sites uses such as Bill To or Ship To.
HZ_CUST_ACCT_RELATE_ALL : Stores information about relationships between customer accounts.
HZ_CUST_ACCOUNT_ROLES : Stores information about the roles that parties perform in customer accounts.
HZ_BILLING_PREFERENCES : It describe the invoicing format preferred by customer accounts or customer account sites.
HZ_CUSTOMER_PROFILES : Stores credit information for a customer account and customer account sites.
HZ_CUST_PROFILE_AMTS : Stores profile amount limits for every currency defined for a customer account or customer account site profile.
HZ_CUST_PROF_CLASS_AMTS :Stores customer profile class amount limits for currency.
HZ_CUST_PROFILE_CLASSES : Stores standard credit profile classes.

CONTACT POINTS:

The tables are as follows:-
HZ_CONTACT_POINTS : Stores electronic methods of communicating with entities such as parties, party site. Each record in this table represents s different means of contacting an entity.
HZ_CUST_CONTACT_POINTS : This table is used to tie a contact point to a customer account, customer account site or customer account role.
HZ_CONTACT_RESTRICTIONS : It stores information about restrictions on contacting parties.

SITES/LOCATIONS:

The tables are as follows:-
HZ_PARTIES_SITES : Stores information about parties and locations. Because there is a many-to-many relationship between parties and locations.
HZ_PARTIES_SITE_USES : Stores information about the party site uses and business purposes. A party site can have multiple site uses such as ‘bill to’ or ‘ship to’ and each site is stores as a record in this table.
HZ_LOCATIONS : Stores information about the locations, namely, address information
HZ_LOC_ASSIGNMENTS : It ties locations stored in HZ_LOCATIONS to a LOC_ID stored in AR_LOCATIONS_COMBINATIONS.

Entity Relationship Diagram:

--=============================================================================

-- Filename   : Customer Data Query

-- Language   : SQL

-- Module     : AR

-- Purpose    : Lists Customer (Party), Customer Account, and Customer Site

--              related information.

--=============================================================================

SELECT

       ----------------------------------------------------------

       -- Party Information

       ----------------------------------------------------------

       hp.party_number                      "Registry ID",

       hp.party_name                        "Party Name",

       hp.party_type                        "Party Type",

       DECODE(hp.status,

              'A', 'Active',

              'I', 'Inactive',

              hp.status)                    "Party Status",

       ----------------------------------------------------------

       -- Account Information

       ----------------------------------------------------------

       hca.account_number                   "Account Number",

       DECODE(hca.status,

              'A', 'Active',

              'I', 'Inactive',

              hca.status)                   "Account Status",

       hca.account_name                     "Account Description",

       hca.customer_class_code              "Classification",

       DECODE(hca.customer_type,

              'R', 'External',

              'I', 'Internal',

              hca.customer_type)            "Account Type",

       ----------------------------------------------------------

       -- Site Information

       ----------------------------------------------------------

       hps.party_site_number                "Customer Site Number",

       DECODE(hcas.status,

              'A', 'Active',

              'Inactive')                   "Site Status",

       DECODE(hcas.bill_to_flag,

              'P', 'Primary',

              'Y', 'Yes',

              hcas.bill_to_flag)            "Bill To Flag",

       DECODE(hcas.ship_to_flag,

              'P', 'Primary',

              'Y', 'Yes',

              hcas.ship_to_flag)            "Ship To Flag",

       hcas.cust_acct_site_id               "Customer Acct Site ID",

       ----------------------------------------------------------

       -- Address Information

       ----------------------------------------------------------

       hl.address1                          "Address1",

       hl.address2                          "Address2",

       hl.address3                          "Address3",

       hl.address4                          "Address4",

       hl.city                              "City",

       hl.state                             "State",

       hl.postal_code                       "Zip Code",

       ter.name                             "Territory",

       ----------------------------------------------------------

       -- DFF Information (specific to client)

       ----------------------------------------------------------

       hcas.attribute4                      "SMG Key",

       hcas.attribute8                      "GLN Key",

       hca.attribute3                       "Credit Approval Date",

       hca.attribute7                       "Credit Approved By",

       hca.attribute4                       "Acct Opened Date",

       hca.attribute5                       "Credit Collection Status",

       hca.attribute1                       "BPCS Last Trx Date",

       hca.attribute2                       "BPCS Avg Pay Days",

       hca.attribute6                       "BPCS RCM Reference",

       ----------------------------------------------------------

       -- Collector Information

       ----------------------------------------------------------

       col.name                             "Collector Name",

       ----------------------------------------------------------

       -- Account Profile Information

       ----------------------------------------------------------

       hcp.credit_checking                  "Credit Check Flag",

       hcp.credit_hold                      "Credit Hold Flag",

       hcpa.auto_rec_min_receipt_amount     "Min Receipt Amount",

       hcpa.overall_credit_limit            "Credit Limit",

       hcpa.trx_credit_limit                "Order Credit Limit",

       ----------------------------------------------------------

       -- Attachment Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM fnd_documents_vl doc,

                   fnd_lobs         blo,

                   fnd_attached_documents att

             WHERE doc.media_id = blo.file_id

               AND doc.document_id = att.document_id

               AND att.entity_name = 'AR_CUSTOMERS'

               AND att.pk1_value   = hca.cust_account_id

               AND ROWNUM = 1), 'N'

       ) "Attachment Flag",

       ----------------------------------------------------------

       -- Party Relationship Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM hz_cust_acct_relate_all hzcar

             WHERE hzcar.cust_account_id = hca.cust_account_id

               AND hzcar.relationship_type = 'ALL'

               AND ROWNUM = 1), 'N'

       ) "Party Relationship Flag",

       ----------------------------------------------------------

       -- Account Relationship Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM hz_cust_acct_relate_all hzcar

             WHERE hzcar.cust_account_id = hca.cust_account_id

               AND ROWNUM = 1), 'N'

       ) "Account Relationship Flag",

       ----------------------------------------------------------

       -- Party Contact Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM hz_parties hp2

             WHERE 1=1

               AND hp2.party_id = hp.party_id

               AND (

                    hp2.url IS NOT NULL OR

                    -- LENGTH(TRIM(hp.email_address)) > 5

                    INSTR(hp2.email_address, '@') > 0 OR

                    hp2.primary_phone_purpose IS NOT NULL

                    )

           ), 'N'

       ) "Party Contact Flag",

       ----------------------------------------------------------

       -- Account Contact Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM hz_contact_points

             WHERE status = 'A'

               AND owner_table_id =

                   (SELECT hcar.party_id

                      FROM hz_cust_account_roles   hcar,

                           ar_contacts_v           acv

                     WHERE hcar.cust_account_id   = hca.cust_account_id

                       AND hcar.cust_account_role_id = acv.contact_id

                       AND hcar.cust_acct_site_id IS NULL  -- look for account level only

                       AND ROWNUM = 1 -- add this row to show inactive sites (i.e. with no site id)

                    )

               AND ROWNUM = 1), 'N'

       ) "Account Contact Flag",

       ----------------------------------------------------------

       -- Site Contact Flag

       ----------------------------------------------------------

       NVL((SELECT 'Y'

              FROM hz_contact_points

             WHERE status = 'A'

               AND owner_table_id =

                   (

                      SELECT hcar.party_id

                        FROM hz_cust_account_roles   hcar,

                             ar_contacts_v           acv

                       WHERE hcar.cust_acct_site_id     =  hcas.cust_acct_site_id

                         AND hcar.cust_account_role_id  =  acv.contact_id

                         AND ROWNUM = 1  -- add this row to show inactive sites (i.e. with no site id)

                   )

               AND ROWNUM = 1), 'N'      -- any contact (email, phone, fax) would suffice this condition

       ) "Site Contact Flag"

  FROM

       hz_parties              hp,

       hz_party_sites          hps,

       hz_cust_accounts_all    hca,

       hz_cust_acct_sites_all  hcas,

       hz_customer_profiles    hcp,

       hz_cust_profile_amts    hcpa,

       hz_locations            hl,

       ra_territories          ter,

       ar_collectors           col

 WHERE

    hp.party_id            =  hca.party_id

   AND hca.cust_account_id    =  hcas.cust_account_id(+)

   AND hps.party_site_id(+)   =  hcas.party_site_id

   AND hp.party_id            =  hcp.party_id  

   AND hca.cust_account_id    =  hcp.cust_account_id

   AND hps.location_id        =  hl.location_id(+)

   AND col.collector_id       =  hcp.collector_id

   AND hcas.territory_id      =  ter.territory_id(+)

   AND hcp.cust_account_profile_id = hcpa.cust_account_profile_id

   ----

   AND hp.party_type          = 'ORGANIZATION'    -- only ORGANIZATION Party types

   AND hp.status              = 'A'               -- only Active Parties/Customers

   ----

   -- following conditions are for testing purpose only

   -- comment/uncomment as needed

   ----

   -- AND hp.party_number        = 11530

   -- AND hca.account_number     = 32253 --32396 --31753 --32253 --31038

 ORDER BY TO_NUMBER(hp.party_number), hp.party_name, hca.account_number;

References

http://www.club-oracle.com/threads/oracle-apps-tca-tables.16312/