1. Non-Inventory PO Process
NIDEC-SHIMPO CORPORATION
Non-Inventory PO Process
Department name: Operations
Date: 12/29/17

2. Non-Inventory PO Process
Approval authorizations
<$1,000 then Manager approval only
>$1,000 then VP or President approval required
>$2,500 then 3 competitive quotes required, unless waived by VP/President as unnecessary
>$16,000K requires Ringi approval from Nidec-Shimpo Japan
Forward the approved Requisition and all supporting paperwork to purchasing department (Judy, Robert, Emilio). They will process order and upoad documents into OB

3. Create Requisition Complete digital requisition form
Anybody permitted to do this
Located on “Everyone” server in Official Forms folder
Complete all information
If new vendor, then you need to go through vendor set-up process with Accounting Dept., a separate process
fill set-up New Vendor form, get W-9, tax certificate, bank & trade references, etc.
If amount is greater than $2.5K, the requisition will require 3 competitive quotes, unless waived by VP or President
If not enough room on Requisition to list every item, then itemize on separate document (xls, pdf, etc.) and group together as single or few line items.
Purchase Department will need detail to place order
Please include instruction on how you want the order placed. For example, if you or another person will place order by company credit card then you need to clearly note that on the Requisition in “SPECIAL INSTRUCTIONS” so purchase department gives you OpenBravo PO number to place order.

4. Fill Out Requisition Tracking Tip
Need a Requisition Number
In order to complete requisition, you need to get a Req No.
Go onto the “Everyone” Server and open the Requisition Tracking file (see image below)
Enter a new Requisition number in the next row in Column A.
Enter information in Column B - H. Column I – L will autopopulate, no need to touch
When done, save and close the Requisition Tracking file.

5. Submit for Approval
Once the Requisition is complete, you need to submit for Approval
Approval authorizations depend on the total amount;
<$1,000 then Manager approval only
>$1,000 then Manager & VP or President approval required
>$2,500 then 3 competitive quotes required, unless waived by VP/President as unnecessary
>$16,000K requires Ringi approval from Nidec-Shimpo Japan
Authorization steps
the Requisition pdf to you Manager first, with supporting information
Once manager approves, they will forward to signed Requisition and supporting info to the VP or President if that level of approval is required
Final authorization (either Manager or VP/Pres) will then forward the approved Requisition with supporting info to the purchasing dept (Judy, Robert, Emilio)
If Requisition is not approved, it will be sent back to originator

6. Entering and Placing Purchase Order
Purchasing Department will enter order into OpenBravo, similar to how they enter any Inventory orders.
Within that created Purchase Order, the approved Requisition and all supporting information will be uploaded
A Purchase Order with Purchase Order number will now be stored in OpenBravo.
Purchasing Department should be the main group to place all orders with Vendors. They will send pdfs of the purchase order to vendor.
If Non-Inventory Order needs to be placed by other means, i.e. credit card, ordered on-line, over phone, etc; then Purchasing Dept will provide information to the originator of requistion in order to place order.
As mentioned on previous slide, any instructions on how to place the order should be clearly described on the Requisition
The purchase order will need to be closed, otherwise it will stay active in OpenBravo
The Purchase Department should always be considered the main contact for the item purchase so that warehouse informs them when received and they properly receive/close order in OpenBravo.
If not applicable for the product/service or situation, then originator needs to notify Purchasing Department that item has been received and PO can be closed.
Accounting will not process any addtion payment until the PO is closed properly.

7. Goods Receipt
As mentioned in previous slide, non-inventory goods needs to be received in order to close the Purchase Order.
Purchase Department will create Goods receipt and close Purchase order so that an vendor invoicing and payment can completed by Accounting Dept.
This is very similar process to how we receive Inventory Items.
Please do not have the product/service shipped directly to you, and then not notify the purchasing department.
They need to close the order, and they will have no clue to do so if you receive and do not tell them.
Please try to have as many products shipped to Purchasing Department’s attention through warehouse (or front desk for small supplies) so that it properly received without additional communication required.