Challenge 2Manage Legal EntityScenarioThe newly acquired company that manufactures spring hinges for spectacles in Michigan...

[: Oracle Global Human Resources Cloud: Implementing Global Human Resources, Section: Security for Setup Tasks., Step 2: Navigate to Setup and Maintenance, Action:, From the Oracle Fusion Applications home page, click theNavigatoricon (hamburger menu) in the top-left corner., Under theToolssection, selectSetup and Maintenance., Explanation: TheSetup and Maintenancework area provides access to all implementation and configuration tasks, organized by functional areas. This is the entry point for accessing theManage Legal Entitytask., Verification: Oracle’s user interface consistently places Setup and Maintenance under the Navigator’s Tools section, as confirmed in both Redwood and responsive interfaces., Reference: Oracle Global Human Resources Cloud: Implementing Global Human Resources, Section: Setup and Maintenance Overview., Step 3: Select the Workforce Structures Functional Area and Locate the Task, Action:, In the Setup and Maintenance work area, click theFunctional Areadropdown and selectWorkforce Structures., In the task list, locateManage Legal Entityby scrolling or using the search bar (type “Manage Legal Entity”)., Click theGo to Taskicon (typically a play button or arrow) next toManage Legal Entityto open the task., Explanation: TheWorkforce Structuresfunctional area includes tasks related to organizations, including legal entities. TheManage Legal Entitytask is designed to create and manage legal entities, including their attributes and associations. Using the search bar ensures quick access if the task list is extensive., Verification: Oracle documentation listsManage Legal Entityunder Workforce Structures, accessible via the Setup and Maintenance UI in both Redwood and responsive interfaces., Reference: Oracle Global Human Resources Cloud: Using Global Human Resources, Section: Manage Legal Entity., Step 4: Initiate Creation of a New Legal Entity, Action:, On theManage Legal Entitypage, click theCreatebutton (typically a plus sign (+) or labeled “Create” in the Redwood interface)., This opens theCreate Legal Entitypage for entering the legal entity details., Explanation: TheManage Legal Entitypage displays a searchable list of existing legal entities. TheCreateaction starts the process of adding a new legal entity, opening a form where details like name, identifier, and address can be entered., Verification: Oracle’s UI for managing legal entities includes aCreatebutton, as confirmed in documentation and Redwood interface updates (24C and later)., Reference: Oracle Global Human Resources Cloud: Implementing Global Human Resources, Section: Creating Legal Entities., Step 5: Enter the Legal Entity Details, Action: On theCreate Legal Entitypage, enter the following details as provided in the scenario:, Name: EnterX Cloud Vision., Legal Entity Identifier: EnterXCLDVIS., Country: SelectUnited Statesfrom the dropdown list., Legal Address: Search for and select the previously created address:900 Main St, Dearborn Heights, Wayne, Michigan 48127., Click theSearchicon (magnifying glass) in the Legal Address field., EnterDearborn Heightsor900 Main Stin the search criteria and clickSearch., Select the address and clickOK., EIN or TIN: Enter93654213X., Legal Reporting Unit Registration Number: Enter1212321X., Organization Type: SelectLegal Employer(as the legal entity is a company with employees)., Effective Start Date: Enter04/15/2025(current date, unless the acquisition date is specified; adjust if a specific date is required)., Payroll Statutory Unit: Check the box forPayroll Statutory Unitor selectYesto designate the legal entity as its own PSU., Explanation:, Name: The legal entity name must beX Cloud Vision, matching the scenario exactly for identification., Legal Entity Identifier:XCLDVISis a unique code for the legal entity, used in system processes and reporting., Country:United Statesis required, as the address is in Michigan., Legal Address: The address (900 Main St, Dearborn Heights, Wayne, Michigan 48127) was created in a previous task (Question 142) and must be selected to link it to the legal entity. The search ensures the correct address is used., EIN or TIN:93654213Xis the Employer Identification Number or Tax Identification Number, used for tax reporting., Legal Reporting Unit Registration Number:1212321Xidentifies the legal reporting unit for compliance purposes., Organization Type:Legal Employeris appropriate, as the company employs workers (implied by manufacturing operations)., Effective Start Date: Oracle uses effective dating to track legal entity validity. The current date (04/15/2025) is used unless otherwise specified., Payroll Statutory Unit: Designating the legal entity as a PSU ensures it handles its own payroll reporting and compliance, as required by the scenario. This creates a PSU automatically tied to the legal entity., Verification: Oracle documentation specifies mandatory fields (e.g., Name, Country, Address) and optional fields (e.g., EIN/TIN) for legal entity creation. ThePayrollStatutory Unitoption is explicitly supported, and the provided details align with US legal entity requirements., Reference: Oracle Global Human Resources Cloud: Using Global Human Resources, Section: Legal Entity Fields., Step 6: Configure Additional Settings (if prompted), Action:, Jurisdiction: If prompted, selectUnited States, Michiganas the jurisdiction for compliance with state regulations., Payroll Statutory Unit Details: If a PSU section appears, confirm the PSU name (defaults toX Cloud Vision) and ensure theEIN or TINandRegistration Numberare carried over., Primary Legal Address: Verify that900 Main St, Dearborn Heights, Wayne, Michigan 48127is marked as the primary legal address (typically automatic)., Explanation:, Jurisdiction: Michigan is the appropriate jurisdiction for a US-based company in Dearborn Heights., PSU Details: Creating a PSU requires minimal additional input, as the legal entity’s details (e.g., EIN/TIN) are reused., Primary Legal Address: Oracle requires at least one primary address for compliance; the selected address fulfills this role., Verification: Oracle documentation confirms that PSU creation can be integrated with legal entity setup, and jurisdiction and address settings are standard fields., Reference: Oracle Global Human Resources Cloud: Implementing Global Human Resources, Section: Payroll Statutory Units., Step 7: Save the Legal Entity, Action:, After entering all details, clickSave and Close(orSaveif further edits are needed)., If prompted, confirm the creation of the legal entity and PSU., Explanation: Saving creates the legal entity and, if selected, the associated PSU in the system. TheSave and Closebutton finalizes the task, whileSaveallows additional configurations (e.g., adding more addresses). Oracle validates mandatory fields before saving., Verification: Oracle’s UI includesSaveandSave and Closeoptions for legal entity creation, as confirmed in documentation for both responsive and Redwood interfaces., Reference: Oracle Global Human Resources Cloud: Implementing Global Human Resources, Section: Saving Legal Entities., Step 8: Verify the Legal Entity Creation, Action:, Return to theManage Legal Entitypage., In the search criteria, enterX Cloud VisionorXCLDVISand clickSearch., Confirm that the new legal entity appears with the details:, Name: X Cloud Vision, Identifier: XCLDVIS, Legal Address: 900 Main St, Dearborn Heights, Wayne, Michigan 48127, EIN or TIN: 93654213X, Legal Reporting Unit Registration Number: 1212321X, Payroll Statutory Unit: Yes, Effective Start Date: 04/15/2025, Optionally, verify the PSU by navigating to theManage Payroll Statutory Unitstask and searching forX Cloud Vision., Explanation: Verification ensures the legal entity and PSU were created correctly. Searching by name or identifier confirms the record’s accuracy and checks for errors. Checking the PSU separately validates its creation if required., Verification: Oracle documentation emphasizes verifying setup tasks by searching created records, and theManage Legal Entitypage supports detailed searches., Reference: Oracle Global Human Resources Cloud: Using Global Human Resources, Section: Searching Legal Entities., , Detailed Explanation, Purpose of Legal Entity: A legal entity represents a registered organization for compliance, tax, and payroll purposes.X Cloud Visionas a legal employer and PSU ensures it handles its own workforce and reporting obligations., Payroll Statutory Unit: Designating the legal entity as a PSU means it acts as the entity responsible for payroll calculations and statutory reporting (e.g., W-2 forms in the US). This aligns with the scenario’s requirement for independence., Legal Address Integration: The address (900 Main St, Dearborn Heights, Wayne, Michigan 48127) links the legal entity to its physical or registered location, critical for compliance. The prior creation of this address (Question 142) ensures it is available for selection., EIN/TIN and Registration Number: TheEIN/TIN(93654213X) andLegal Reporting Unit Registration Number(1212321X) are unique identifiers for tax and reporting, formatted as per US requirements., Redwood Interface: In the Redwood interface (24C and later), theManage Legal Entitypage may feature enhanced UI elements (e.g., streamlined forms, inline validation), but the core fields and steps remain consistent with the responsive interface., Effective Dating: The effective start date ensures the legal entity is active from the specified date, supporting future changes (e.g., address updates)., , Key Considerations, Accuracy: All details (X Cloud Vision,XCLDVIS,93654213X,1212321X) must be entered exactly as provided to avoid errors in reporting or compliance., Address Availability: The legal address must exist in the system (from Question 142). If not found, revisit theManage Legal Addressestask to create it first., PSU Creation: Checking the PSU box automatically creates a PSU linked to the legal entity, reusing the provided EIN/TIN and registration number unless overridden., Security: Only users with theManage Legal Entityprivilege can perform this task. Role mismatches require administrative intervention., Jurisdiction: SelectingUnited States, Michiganensures compliance with state-specific regulations, though it may be optional in some configurations., , Potential Challenges and Solutions, Access Denied: If the user lacks theManage Legal Entityprivilege, an error occurs.Solution: Assign theApplication Implementation Consultantrole viaSecurity Console., Address Not Found: If the address (900 Main St) is missing, the system prevents saving.Solution: Create the address using theManage Legal Addressestask (as per Question 142) before proceeding., Duplicate Identifier: IfXCLDVISalready exists, an error occurs.Solution: Search for the identifier first; if it exists, coordinate with the implementation team to resolve conflicts., Redwood UI Variations: The Redwood interface may use different button labels (e.g.,Addinstead ofCreate) or layouts.Solution: Follow field prompts and ensure all required fields are completed., PSU Configuration: If PSU creation prompts additional fields, use default values derived from the legal entity unless specified.Solution: Confirm EIN/TIN and registration number alignment., , References, Oracle Global Human Resources Cloud: Implementing Global Human Resources, Document ID: docs.oracle.com, Published: 2023-12-12, Section: Manage Legal Entity: “Steps to create legal entities, including name, identifier, address, and PSU designation.”, Section: Payroll Statutory Units: “Explains how legal entities can be configured as PSUs for payroll reporting.”, Oracle Global Human Resources Cloud: Using Global Human Resources, Document ID: docs.oracle.com, Published: 2024-07-02, Section: Creating Legal Entities: “Details on entering legal entity attributes and linking addresses.”, Section: Legal Entity Compliance: “Importance of EIN/TIN and registration numbers.”, Oracle Fusion Cloud Human Resources 24C What’s New, Document ID: docs.oracle.com, Published: 2024-08-27 Creatures of the Void: A Journey into the Unknown Creatures of the Void: A Journey into the Unknown, Section: Redwood Experience for Workforce Structures: “Enhanced UI for legal entity and address management.”, Oracle Fusion Cloud Human Resources 25A What’s New, Document ID: docs.oracle.com, Published: 2025-03-20, Section: Workforce Structures: “Streamlined legal entity setup with PSU integration., , ]