1. Analyze Spending Chain Procedures (SPS-PR)
U.S. ARMY SOLDIER SUPPORT INSTITUTE
NONCOMMISSIONED OFFICER ACADEMY 1

2. Terminal Learning Objective
Action: Analyze Spending Chain Procedures
Conditions: Mid-grade FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, practical exercise, personal experience, handouts, and discussion with an awareness of the Operational Environment (OE) variables and actors.
Standard: With a minimum of 80% accuracy, learners must demonstrate proficiency with:
Communicate spending chain procedures
Create a standard procurement system – purchase requisition
Change standard procurement system
Create good receipt in GFEBS
Create an invoice receipt in GFEBS 2

3. Spending Chain Procedures
What is Spending Chain?
Spending Chain involves the end-to-end Requisition to Pay process that includes:
Managing and applying material and Vendor Master Data.
Generating and maintaining purchase requisitions (PRs) and purchase orders (POs).
Receiving and posting goods receipts (GRs).
Goods acceptance
Service Entry Sheets
Invoicing
Payment processing 3

4. Spending Chain Roles Purchase Requisition (PR’s) Purchase Order PO’s)
Good’s Receipt
(GR)
Invoice Receipt
(IR)
PR Processor
PO Processor
GR Processor
IR Processor
PR Interface Processing Monitor
PO Interface Processing Monitor
GR Interface Processing Monitor
IR Interface Processing Monitor
PR Approver
(L1)
Site Invoice Processor
PR Funds Certifier
(L4)
MIPR (L5)
Site Invoice Interface Processing Monitor 4
**Data verified by: Role-to-Course Master Mapping, Effective 29 June 2014

5. SC Sub-Processes Material Master Data Vendor Master Data Acquisitions
Accounts Payable 5

6. Acquisitions
Includes all the steps necessary to purchase goods and services.
Create/Change Purchase Requisition (PR)
Purchase Requisition Approval
Create/Change Purchase Order
Carry Out Goods Receipt
Create/Change Funds Commitment Document
Create/Change Funds Pre-Commitment Document
In addition it includes recording proprietary and budgetary ledger entries for:
Commitments (PRs)
Obligations (POs/Funds Commitment documents)
Receiving Reports and Acceptances (GR/acceptance)
Show Slide #6 : Acquisitions 6

7. Accounts Payable Process
During this process, contractual and miscellaneous payment invoices and payments are processed. The activities associated with this sub-process are:
Post Invoice
Process payments for automatic and manual (MIRO) invoices.
Payment Program
Process payments for open invoices to vendors. After an invoice is received, recorded, and matched, payments are scheduled and disbursed to the vendors according to the Prompt Payment Act. 7

8. Contract (Document) Types
Standard Procurement System (SPS) T-Codes
PPA
Contractual T-Codes
Non-PPA Misc. Pay
T-Codes
ME51N
ME21N (Auto-Created)
MIGO
MIRO
ME51N – Create Purchase Requisition
ME21N – Create a Purchase Order
ML81N – Services Entry Sheet
MIRO - Invoice/Block
ME5A – PR list Display
FB02- Block
ME23N – View Status
FB02- Unblock
MIR4 – View/Display
MR8M – Cancel/Reverse Invoice
F-44- Clear Vendor Invoice
FMY1 – Pre-Commit Document
FMZ1 – Create Funds Commitment Document
FB60 – Enter Invoice
FB03 – View Invoice
FB02 – File Attach
FB02 – Invoice Block 8

9. Types of Invoices Two types of Invoices:
Contractual consist of two key transactions MIRO and MIR4
Miscellaneous Pay
Miscellaneous Pay (subject to PPA)
Miscellaneous Pay (Not subject to PPA)
Two ways invoices are processed:
Interfaced (Automated) invoices external to GFEBS primarily with IRAPTS (Formally known as Wide Area Work Flow)
Manual invoices are entered manually. 9

10. LSA #1 Check on Learning
What are the two types of Miscellaneous Pay Invoices? A.
When referencing invoices, the MIRO is to SPS, as the ________ is to Miscellaneous pay 10

11. LSA #1 Summary 11

12. Spending Chain Process LSA #2: Create a Standard Procurement System (SPS) Purchase Requisition (PR) in GFEBS ME51N 12

13. Commercial Off The Shelf (COTS):
GFEBS Bike (Analogy)
ADS/DDS
SAP-Systems Applications & Products
PR-(IE., Gravel)
DA 3953
SF44
F11O
ME51N
MIRO
MANUAL
GFEBS
L1-Gen.Supv
L2-IT
L3- PB
L4- Certification
INVOICE
iRAPT /Manual
MIGO
MANUAL
ME23N GR
iRAPT /Manual
GFEBS Reports
AWARD
PO/Obligation auto-created in SPS at the MICC
T-Codes:
ME51N-Create PR
ME52N-Change PR
ME53N-Display PR
SPS
Commercial Off The Shelf (COTS):
SAP Accounting Software
Blueprinting: Adds customer
add-ons and customization of the product
“The ARMY is the customer” 13

14. Battle Drill 1: Process Contract (P2P) with SPS & WAWF
3-way match 14

15. Battle Drill 1: Process Contract (P2P) with SPS & WAWF15

16. ME51N – Create Standard Procurement System- Purchase Requisition (SPS PR)
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided 16

17. LSA #2 Check on Learning Q. What does the Plant field indicate?
Ordering MICC
Botany
None of the above
Q. What is the minimum approval levels are required for an SPS PR? A.
Q. What is the account assignment category for an unfunded SPS PR?
Ordering Installation 17

18. LSA #2 Summary 18

19. Battle Drill 1: Process Contract (P2P) with SPS & WAWF19

20. ME53N – View / Change SPS PR (Add Funding – Certify)
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided 20

21. LSA #3 Check on Learning Q. T/F Changes can be made in ‘Display’ mode
Q. In order to change the PR status from Unfunded to Funded, the processor must change the code from a ___ to a ___ 21

22. LSA #3 Summary 22

23. Battle Drill 1: Process Contract (P2P) with SPS & WAWF23

24. MIGO – Create a Goods Receipt in GFEBS
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided 24

25. LSA #4 Check on Learning
What must exist within GFEBS in order to enter a GR?
Q. What are the three most common GR movement types?
Q. What DD form does the MIGO transaction replace? A. A. A. 25

26. LSA #4 Summary 26

27. Battle Drill 1: Process Contract (P2P) with SPS & WAWF27

28. MIRO – Create an Invoice Receipt in GFEBS
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided 28

29. LSA #5 Check on Learning
What is another name for the ‘Reference’ Number as per this transaction? A.
T/F: The “Amount” field is mandatory?
The MIRO is the T-code in the three way match. 29

30. LSA #5 Summary 30

31. Battle Drill 1: Process Contract (P2P) with SPS & WAWF
Complete
SPS PR 31

32. Miscellaneous Pay Non-PPA
Contract Types
Standard Procurement System (SPS) T-Codes
Miscellaneous Pay PPA
T-Codes
Miscellaneous Pay Non-PPA
T-Codes
ME51N
ME21N (Auto-Created)
MIGO
MIRO
ME51N – Create Purchase Requisition
ME21N – Create a Purchase Order
ML81N – Services Entry Sheet
MIRO- Create IR
ME5A – PR list Display
FB02 - Invoice/Block
ME23N – View Status
FB02- Unblock IR
MIR4 – View/Display
MR8M – Cancel/Reverse Invoice
F-44- Clear vendor Header
FMY1 – Pre-Commit Document
FMZ1 – Create Funds Commitment Document
FB60 – Enter Invoice
FB03 – View Invoice
FB02 – File Attach
FB02 – Invoice Block 32

33. TLO Summary Action: Analyze Spending Chain Procedures
Conditions: Mid-grade FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, practical exercise, personal experience, handouts, and discussion with an awareness of the Operational Environment (OE) variables and actors.
Standard: With a minimum of 80% accuracy, learners must demonstrate proficiency with:
Communicate spending chain procedures
Create a standard procurement system – purchase requisition
Change standard procurement system
Create good receipt in GFEBS
Create an invoice receipt in GFEBS 33