1 BOISE CASCADE MANAGING AGING RECEIPTS SUPPLIER RELATIONSHIP MANAGEMENT PRODUCT USER GROUP CONFERENCE FEBRUARY 28, 2007

2 Presenters  Shannon Harris Corporate Shared Accounting Services  Mark Kirkland Corporate Procurement

3 Topics Covered  Boise Cascade Company Information  Automated Reconciling Processes  Receipt – Accrue/Non-Accrue  Old Receivers (90-Days and Older)  Users involved in cleanup  Questions and Answer Session

4 Boise Cascade Company Background  Company Headquarters in Boise, Idaho  10,000+ Employees  Operations  Domestically throughout the United States  Internationally in the United Kingdom, Brazil, and Canada  Four Major Divisions  Building Materials Distribution (29 Distribution Centers)  Paper Manufacturing (4 Paper Mills)  Timber and Wood Products (21 LVL, Plywood, Lumber, & Veneer Plants)  Packaging and News Print (1 Paper Mill, 5 Packaging Plants)

Sales by Business -- $ Millions

6 Versions of PeopleSoft  Began Converting to PeopleSoft Version 5.1 in 1996  Upgraded to Version 7.5 in November 1999  Added eProcurement 8.0 in 2002  Upgraded to 8.8 on November 28, 2005  Currently on PeopleSoft SP 1 - MP 5 – Bundle 20  Current Strategy is to apply all available Bundles on a quarterly basis

Finance and Purchasing Statistics  ~ 2,400 Purchasing and Finance Users  20 Purchasing Business Units  26 Inventory Business Units  179 AP Business Units  238 General Ledger Business Units  ~ 280,000 Item Ids

Finance and Purchasing Statistics  293,688 Journals  1,447,625 Vouchers  328,794 Payments  1473 Pay Cycles  107,880 Purchase Orders  68,546 Requisitions  191,737 Receipts

9 Modules In Use  Purchasing  Inventory  Accounts Payable  Accounts Receivable  Asset Management  Project Costing  General Ledger  Budget  Billing  Contracts  eProcurement  Human Resources  Benefits Administration  Payroll  ePay  Treasury (coming soon)

10 Integrated Systems  Maximo 5.2  Maximo is a maintenance planning application used by some Business Units  Requisitions that are written in Maximo and ‘Replicated’ into PeopleSoft  PeopleSoft and Maximo also share the following:  Purchase Orders  Receipts  Vouchers  Item IDs and Descriptions

11  The Processes are ran automatically every two weeks.  PO Reconcile  Requisition Reconcile  Receipt Reconcile Automated Reconciling Processes

12 90-Day Receivers  What are 90-day Receivers and why are they a problem?  Receivers that are older than 90-days and do not have a matched status  These Receivers are for Purchase Orders where Receiving is Required  These Receivers represent a liability (expense) to the company.  Some of these Receivers may be duplicate or are no longer valid

13 Receipts – Accrue/Not Accrue  Receipts for Purchase Orders when Receiving is Required are Accrued  Receipts for Purchase Orders when Receiving is not Required are not Accrued. These Receipts are for more informational purposes

14 90-Day Receivers continued  Purchasing agents periodically run a custom query that will identify 90-Day Receivers  Shared Accounting Services sends out monthly reports on the number of 90-Day Receivers and their total Value.  Buyers, Receivers, Storeroom Users, Accounts Payable, and sometimes the Vendor all work together to get the Receivers matched and paid (or sometimes cancelled)

15 Back to 90-Day Receivers  Here are some of the reasons why 90-day old receivers exists:  Invoice was processed as freight.  Invoice was paid on a summary billing.  Invoice was paid on a credit card.  Invoice was closed and paid express.  In house repairs.

16 Manually Matching Receipts  Sometimes it is determined that a Receipt is valid, but for some reason it has not matched or it will never match  A custom SQR process is ran to Manually match the Receiver. This process also places comments on the Receiver and the PO to aid in future research.  A list of Manually Matched Receipts is sent monthly to G/L Accountants so that the appropriate entries can be made in the Ledger

17 Questions and Answer Session QUESTIONS AND ANSWERS