1. Procurement to Invoice Jim Boyer Sr. Consultant jim.boyer@cistech.net

2. Making it all work together Invoicing Receiving Purchasing

3. Control Accounting Materials Management Materials Management Or Associates Requisition and Order ReceiveVoucherPay

4. Why? Accuracy Control Efficiency Attainment Costing Performance The Goal

5. Procure to Invoice Requisition Request Validate Purchase Order Approve Authorize Receive Authorize Record Voucher Validate Record

6. Request & Validate Request –Requisitioner –Item –Due date Validate –Unit and Nature (Department / Account) –Tax –Unit of Measure

7. Request & Validate Benefits of requisition system –Can’t be lost –Item Identification –Creator knows his department ? –Approver can review on-line –A/P has audit trail to source –Accuracy –Formal Communication

8. Approve & Order Convert Requisition to Order Validate / Authorize Pricing Validate Tax Rules Validate Unit / Nature Authorize Delivery Schedule Receiving

9. Approve & Purchase Benefits –Better pricing –Better sourcing –Cash Commitments analysis –Better Control –Validate the Delivery –Validate the Invoicing Process

10. The Data Base FOB Codes Charges Unit / Nature Terms Vendor Item Master Personal Account

11. FOB Codes

13. IFM Data

14. Terms Terms are active in IFM and Purchasing VendorOrderInvoice

15. PO Header Freight Special Charge Taxes Approver Payment Terms

16. Vendor Details

17. PO Header

18. PO Item

19. Key Data FOB / Freight codes Terms Special Charges Tax Transaction Types Unit / Nature Charge Charge Type

20. Receive Validate Authorize Identify

21. Receiving Screens

22. Key Receiving Data PO Number Item Quantity / Unit if Measure Release Goods Receipt Note (GRN) GRN Invoice ‘Y/N’ 70001 1002 1003 1004

23. Receiving Benefits –Confirm order is Delivered –Quality –Vendor Performance –Authorize Payment

24. Invoice Process Validate Record Authorize

25. AP Invoicing Manual Entry Manual Generation –All / Selected –Ordered –Received –In Stock Pay on Receipt Who is the accountant anyway?

26. Invoice Process Screens

27. Invoicing

30. Invoicing Match

31. Generate from Goods Received

32. Key Data Invoice Number GRN Number Items Amounts FOB

33. Purchase to Voucher InventoryReceipts Not Invoiced Invoice Clearing Accounts Payable Price Var. RP 100 AP 125 CA 100 CA 125 CA 25 Standard = 100 Invoice = 125

34. Invoicing Benefits –Pay PO Price –Pay for Received Quantity –Match Invoice to Inventory Receipt –Minimize Effort

35. Accrual Accruals of receipts not invoiced –Generate Invoices from Goods Received –Process IFM Accruals –Delete Generated Batches –Reverse Accruals the Next Month

36. Outside Operations Generate POs from Manufacturing Order Release Process RP Transaction to Report Completion and Generate Liability Process Invoice to Transfer Receipt Liability to Accounts Payable

37. The Requisition to Invoice Approve Order Receive Invoice Request

38. Return to Sender Purchasing Debit Memo To IFM A/P Debit

39. Return to Vendor VR Transaction in IM Update PO Line item Data Post into IFM Reduce Payments

40. Return to Vendor RPPurchase Receipt PQPurchase Quality Receipt RQReject & Return For Quality VRVendor Return

41. Return to Vendor RP PQ Receive RQ Reject * VR Return

42. Return to Vendor VR – Vender return –PO –Location –Quantity –Resupply (Y/N)

43. Return to Vendor

47. Benefits –Pay Only for Good Parts –Better Communication –Transparency – Vendor Performance Reporting

48. Overall Benefits Plan and Execute Authorize Control Efficiency Attain Transparency Within the Enterprise

49. Procurement to Invoice Thank You for Attending!