Contract PO Creation and Receiving

A requisition for a contract PO may be manually created or generated from the Contract Management (CM) subsystem. Generation of the Contract PO through the CM module will assign a PR# after 1) the encumbrance is approved which requires Workflow model "CM-Apprv" and 2) the contract is sent to PO using the use the "Send Contract to PO" tool on the CM Entry (CMUPCM) page.

PO Creation

Search for the Contract number within the PO field of the PO Purchase Request (POUPPR) page. A PR seed was assigned by the system during use of the tool to "Send Contract to PO." Custom PR numbers for contracts can be set in common code SYNO/PR.XXXX where the Associated Code (5) field holds "CM."

Add an appropriate security code, a Ship To ID, and change the Address codes (note that vendor details for shipping or remittance must be defined within the PE Information (PEUPPE) page before use).

Process the Contract PO Type C (Amount-based) as if it were a blanket PO (PO type B). To manage the contract per quantities, update the PO type to T, which processes as a standard PO. The Contract PO is for the stated vendor. To process purchasing details for a 3rd party vendor against the contract, use the Blanket tab.

In POUPPR's Details section, a purchase requisition is by default assigned a PO Type of "P" to indicate that the requisition is for a standard purchase order. To manually create a requisition for a contract PO, enter a "C" (for contract POs) in the PO Type field. The Contract # field is also used to record the contract number. The End Use field may also be used to provide additional information about the end use of the contract.

The account number field is used to record the account number to be used to pay for the contract.

Association Codes

If contract retention is to be used, the codes used to tell the system how much to retain must be entered in the Assoc Code section. Contracts sent from the Contract Management module will already include this information if present. Association codes are assigned to a specific line item; the Assoc Code section will show the value of the Item Number.

The first association code that must be entered is the RTLIMIT code. This code is defined in common code POAS/RTLIMIT. The code is used to record the limit after which no more money is to be retained when a payment is entered against the PO. The RTLIMIT code is selected using the drop-down arrow on the Assoc Code field and the amount is entered into the Code Value field.

The next Association Code that is usually entered is the RTPERCNT code. This code is defined in common code POAS/RTPERCNT. The code is used to record the percentage of each transaction that is to be retained when a payment is entered against the PO.

Other Association Codes that may optionally be used are POAS/RTDOLLAR and POAS/RTMAX. RTDOLLAR is used to define the maximum amount that can be retained on an individual transaction. TMAX is used to define the percentage of the PO at which to stop retaining. Once the amounts retained meet that percentage, no more money would be retained against the PO.

Encumbrances

When the Purchase Requisition is saved, and if pre-encumbrances are set up, an encumbrance record is also created for the PR. This record can be verified in the ENUPTR page by searching for the PR number.

Workflow Approval

After all changes to the PR have been made, the PR is submitted for approval through Workflow. The approvals may be done directly from the POUPPR page, from a Workflow Task list on the dashboard, or from an email. The user can optionally enter any comments associated with the PR and then click Submit to initiate the approval process.

When all approvals have been completed, Workflow will mark the PR record with a value of "APRV" in the Aprv. field.

PO Receiving

The user must then run the POPO process to convert the PR to a PO. It will also allow a hard copy of the PO to be printed.

The POPO process will run a check of the request date versus the print date to be sure they are both in the same Fiscal Year. It will also cause the encumbrance record created against the PR number (if pre-encumbrances were used) to be dis-encumbered and an encumbrance record against the PO number to be created. These records can be viewed on the ENUPTR page by searching for the PR and PO numbers.

When an invoice is received for a Contract PO that was created from Contract Management (CM), a receiving transaction should be entered by amount received (Amt Accepted column) on POUPRC Receiving page. If the Contract PO was created from Purchasing (POUPPR), a receiving transaction should be created by entering the received quantities (Qty Accepted) on POUPRC Receiving page.

Retrieve the PO by entering the PO number of the Contract PO into the PO Number field. Enter the received quantities or amount of the invoice. Save the transaction by clicking Save. A Record Accepted message should be displayed and the quantity or amount entered should have been added to the "Received to Date" or "Amount to Date" fields.

Receiving Inventory items

Receiving items that are to be housed in Inventory are processed the same as for a regular PO item. Enter the quantity received and make sure that a warehouse is identified on the item. If not, the user must select a warehouse. Inventory items are entered on purchase orders with Product IDs that may identify them as stocked items. Stocked items require a warehouse to be identified. Note: Stocked items are marked as "stocked" within the PE Product Information (PEUPPR) page where the Stocked in Stores checkbox is checked.

Back Out Receiving

To reduce the quantity received to date, enter a negative number in the Qty Accepted field. Click Save to update the Received to Date amount.