The Oracle Applications organization model defines organizations and the relationships among them in an arbitrarily complex enterprise. This organization model serves as the cornerstone for all of the Oracle Applications products. It dictates how transactions flow through different organizations and how those organizations interact with each other.
The Multiple Organization Support feature enables you to model a global enterprise with one installation of the Oracle Applications products. This greatly reduces maintenance and setup effort, and allows more global access to some shared data. Prior to the Multiple Organization Support feature, customers could secure data by implementing separate installations of Oracle Applications. In particular, separate installations of the sub-ledger products (Oracle Order Entry, Oracle Payables, Oracle Purchasing, Oracle Receivables) were required. The Multiple Organization Support feature, which is supported by all Oracle Applications products, provides a more pragmatic solution to data security by allowing customers to secure data by business unit within one installation of all Oracle Applications.