MICROSOFT BUSINESS SOLUTIONS – AXAPTA 3.0 PURCHASE MANAGEMENT

The Objectives This training will cover the following objectives: –Creating Item Groups and Items –Creating Vendor Group and Vendors –Creating Purchase Order –Backorders Inquiry –Item Returns –Miscellaneous Charges –Periodic posting –Inquiry and Reports –Trade agreements

Creating Items Groups and Items Item Groups –Inventory Management → Setup → Item Groups Item –Inventory Management → Items Required information for a new item –Item number –Item group –Item type (Item, BOM, Service) –Inventory model group –Inventory dimension group

Exercise (Creating Items) Create two new item groups, called Computer and Magazine item group. (Cause in the next exercises we are going to buy computer and magazine) Create 2 new items, Computer Intel and Magazine Tempo –Item type = Item –Attach the respective item group –Attach DEF inventory model group –Attach STD-DIM dimension group –Purchase/Inventory/Sales Unit = Pcs –Warehouse = MW (main warehouse) –Multiple purchase quantity = 10 –Minimum order quantity = 10 –Standard order quantity = 20

Creating Vendor Groups and Vendors Vendor Groups –Accounts Payable → Setup → Vendor Groups Vendor –Accounts Payable → Vendors Required information for a new vendor –Vendor group

Exercise (Creating Vendors) Create a new vendor group, called Local Create a new vendor –Vendor name = Computer Store –Attach the vendor group –Add other required information if necessary (address, contact info, phone number etc) –Default currency = USD –Terms of payment = M15

Create Purchase Order Type Accounts Payable → Purchase Order Purchase Order Type: –JournalUse as a draft; no effect on stock quantities and does not generate item transactions –Quotation Use if the vendor has not committed an order. –Purchase orderUse when the vendor confirms an order. –Returned itemUse when returning goods to the vendor. Return item number given by the vendor must be entered. –Blanket order Use if there is a contract with the vendor and you want to order from the contract. Create a release order to release, order, and invoice items until the contract is fulfilled. –SubscriptionUse when you buy magazines, newspaper etc. You only need to create one PO for multiple receives and invoices

Exercise (Create A Purchase Order) On 4 October, Purchase 21 pcs of Computer 1500 and from Computer Store (Ignore if there is warning message) Because it is a new vendor, it gives you line discount% = 5% each for Computer Intel (observe the net amount) Vendor requires you to pay by 15 th of next month Post Purchase order confirmation Receive 5 Computer Intel on 5 October, Surat Jalan# = SJ001 (Item group Computer&Magazine, Packing slip=15060, packing slip offset = 15061) Receive Invoice for 5 Computer on 5 October, Invoice#=INV001

Working With Blanket Orders Use purchase blanket orders if you have a contract with a vendor and you want to order from the contract. Blanket orders are often used when you buy large quantities and have obtained special discounts with a vendor. Based on the blanket order, you can create purchase orders (release orders) and invoice items as needed until the contract is fulfilled. You can view the status of a blanket order, for example the remaining quantity to be delivered, in the Open purchase order lines

Exercise (Creating Blanket Order) You have a contract with a local vendor to buy 120 1,000 in 3 months. So each month there will be a purchase of 40 computers. Create a blanket order and then release two purchase order from that blanket order. Observe the blanket order status when all purchase orders have been released

Exercise (Creating Subscription Order) Create a subcription order where you buy 1 magazine from your vendor each month. Magazine price USD 20 Receive your magazine and post the invoice from vendor Notice the change of status

Over delivery/Under delivery You can receive over or under of item receipts other that quantity stated in Purchase order line You have to activate: –Accounts payable -> Setup -> parameters –Default over or under delivery in Items -> References tab

Exercise You buy 10 computers but receive 9 and you want to close the purchase order because vendor has confirmed that they will not have any of this stock for a long time and don’t know when it will be available.

Miscellaneous Charges Miscellaneous charges are additional costs that may be added to purchases. You can add miscellaneous charges manually or automatically when creating a purchase order. You can specify whether the miscellaneous charges are to be posted individually to specially indicated accounts. You can also specify whether miscellaneous charges are to be specified as any one of these three options: –A fixed amount per invoice –An amount Per piece –As a percentage of the invoice amount

Miscellaneous Charges Accounts Payable → Misc. charges → Misc. charges codes The options for purchase order miscellaneous charges are the following: The Expenses Are Added toPaidDebit TypeCredit Type Item Directly to creditorItemCustomer/Vendor By the companyItemLedger Company Directly to creditorLedgerCustomer/Vendor By the companyLedger VendorCustomer/VendorLedger

Miscellaneous charges (contd.) Category type: –Specify whether the charge should be calculated as a fixed amount on the line (Fixed), a unit-based charge (Pcs.), or a percentage on the line (Pct.) –Fixed and Percent can be used on charges in the order header and the order lines, while the type Pcs. can only be used on order lines.

Exercise (Miscellaneous Charges) Create a misc charge code for freight (Ongkos angkut). The cost will add to item cost and payable to vendor. In the auto-misc charge, relate the code with the following details: –Setup miscellaneous charges for main/header level –This expense is 5% of the invoice amount. It is only applicable to the vendor Computer Store you have just created Create a new purchase order from Computer Store and attach the miscellaneous charges to the purchase order and allocate the charges to all purchase lines

Item Returns You create credit notes on purchased items in the Purchase orders form. There are various ways you can create credit notes. 1.Specify a negative quantity on the purchase order line in a newly created purchase order or in an existing purchase order. 2.Copy previous purchases orders or purchase order lines to a new purchase order of the type Purchase order or Returned items (using Functions button). 3.Create a new purchase order with the purchase order type Returned Item.

Item Returns The Return Merchandise Authorization number (RMA number) is a reference and used for tracking purposes. You can specify return actions on purchase lines, but this is for information purposes only.

Exercise (Item Returns) Create a purchase order of 10 1,000 and post the packing slip (receiving) and invoice. Because there is damage in the item you have received, create a new return item transaction for 5 quantities (purchase type = returned item) Post the credit note

Thank You