Académique Documents
Professionnel Documents
Culture Documents
P2P
[PROCURE-TO-PAY]
Presents
The Procure to Pay Life Cycle
Last Updated December 2009
Table of Contents
I. II. Purchase Orders [Creation Process] Managing Invoice Holds..... 3 11
III.
IV. V. VI.
Receipts
33
I.
PURCHASE ORDERS
CREATION PROCESS
3
P2P
Purchase Orders
Creation Process
Purchase Orders should be created via the Penn Marketplace by clicking on The Penn Marketplace houses the most commonly required products and services from University contract and preferred suppliers. For items not available in the Penn Marketplace for marketplace suppliers, use the link on the Penn Marketplace Home Page to create a purchase requisition. For items not available in the Penn Marketplace for nonmarketplace suppliers, use the link on the Requisitions Home Page to create a purchase requisition.
4
P2P
P2P
Purchase Orders
Creation Process [continued]
P2P
Purchase Orders
Creation Process [continued]
P2P
P2P
Purchase Orders
Creation Process [continued]
Remember:
To avoid exceptions and problems with invoices being matched incorrectly, a requisition should be created via the Penn Marketplace for suppliers that are a contract supplier [e.g. Fisher Scientific, Telrose/Office Depot, etc.] and for items not available in the hosted catalog, create a NonCatalog item request
7
P2P
For More
Purchasing- http://www.purchasing.upenn.edu/buyinfo/guide/
Overview of the purchasing process for newly appointed faculty and staff. Overview of the University's authorized buying methods for equipment, supplies and services from external suppliers University procurement and disbursement policies, guidelines, and ethical business practices faculty and staff are required to follow when making a purchase from an external supplier. Buying tips, resources and related information for authorized BEN Buys system users and credit card cardholders. Information related to suppliers that provide the products and services required by the University.
8
For More
7 STEP PROCESS
STEP 1- Identify Need STEP 2- Initiate Purchase STEP 3- Issue Purchase Order STEP 4- Take Delivery/ Create Receipt STEP 5- Process Invoice STEP 6- Pay STEP 7- Track and Improve
9
For More
Financial Traininghttp://www.finance.upenn.edu/ftd/documentation.shtml#buy Learn how to navigate through the BEN Buys system and PO Manager responsibility Use the Navigation User Guide and Quick Reference Guide Learn the policies surrounding the requisition and purchase order process Learn how to manage requisitions and/or purchase orders Use the Requisitioner User Guide or the Purchase Order Manager User Guide Understand how to create Marketplace and/or Non-Catalog Item requisitions Use the Enhanced Penn Marketplace Guide Understand how to research invoice information Use the Invoice Inquiry User Guide
10
11
4. 5.
6.
12
OR
Click go to your web inbox AP Invoices
13
Information shown includes Invoice Number, Supplier Name, PO Number, Invoice Date, and Amount Invoice Number is a link that will open invoice for review An e-mail notification for invoices on hold will be sent daily
14
Message Area
Expanded information available includes Holds, PO details, distributions (Accounting), related invoices, and document history
15
16
Expanded Information:
17
Icon used to open and close detail information
Expanded Information:
Accounting, Related PO Invoices, & History
[Step 3 Continued]
Related PO Invoices links to all invoices and credit memos matched to the given PO (except EDI credit memos)
Document History details all actions related to the invoice since it was scanned into MarkView
18
Quantity Ordered Hold {QTY ORD} The quantity invoiced for a PO line exceeds the 10% tolerance of the quantity ordered on the PO
Maximum Shipment Hold {MAX SHIPMENT AMOUNT} The invoice line total (Qty x Price) is greater than the PO total (Qty x Price) by $25
Comment Requested Hold Additional information is being requested by Accounts Payable. A response should be submitted via Return To stamp with a resolution
Quantity Receipt Hold {QTY REC} Total quantity BILLED exceeds the Total quantity receipted for the PO line on any purchase order with a total greater than $5K or marked as receipt required 19
YESApply the Holds Resolved stamp to release one or all of these holds: Qty Ordered Max Ship Amount
NOApply the Route To Accounts Payable [include a note of why invoice should be canceled in the Comments box]
Not sure yet In dispute with supplier? You can apply the Blue Sticky Note. Add a note: Currently in dispute with supplier. Awaiting resolution. This sticky note is For View Only Does NOT transition document to Accounts Payable. Once the supplier responds and an agreement is made, proceed with actions 20 to pay or cancel the invoice.
Comment Requested
Used by Accounts Payable when more information or clarification is needed on the reason for cancelling an invoice Replaces Buckslip markups Comment Requested sends the invoice to the Buyers Web Inbox.
Return To
Markup used by Buyer to respond to Comment Requested Response information is entered in Return To comment box
21
http://www.finance.upenn.edu/ftd/documentation/benpays.pdf
Step 5- Continued
23
A PO Manager transfers to another department and the original PO Buyer retains PO Manager access in their new role.
For a PO Buyer who leaves the University OR Transfers within the University and DOES NOT have PO Manager responsibility in their new role? An alternate assignment is processed. In addition
to managing their own holds, the newly assigned PO Buyer will be responsible for managing the holds for the PO Buyer that transferred.
27
28
P2P
THINGS TO REMEMBER
MarkView
Users should NOT set their MarkView password to be remembered each time they log in.
Why?
Passwords expire every 30 days, therefore your BEN Financials and MarkView passwords must be in sync. If you have the box checked, and your BEN password was changed, you will receive an error when you click OK to log into MarkView.
P2P
= P2P HELPFUL TIPS & TOOLS
29
P2P
To ensure timely payment to suppliers and within the specified terms, ALL invoices should be sent directly to Accounts Payable by the supplier.
DO NOT use a highlighter on an invoice. Once scanned in the system by Accounts Payable, the data can not be read in MarkView. E-mail alerts for invoices on hold will be sent daily Only the Buyer (or their Alternate Assignment Designee) can approve or request cancellation of an invoice. To access your Web Inbox at any time, bookmark the following URL:
https://benimgprd01.isc-seo.upenn.edu/markview_pr01/MVT_MV_Home.Home
=
P2P = P2P HELPFUL TIPS & TOOLS
30
P2P
AP & IDS employ the following procedures and criteria for handling C-Form exceptions, either by returning C-Forms with exceptions through Intramural Mail or electronically through BEN Pays Imaging system. Intramural Mail: C-Forms will be sent back to the TAC Holder who embossed it. If Wrong form used Missing TAC and/or signature TAC Card has expired Total Amount on C-Form is greater than TAC holder limit C-Form is a photocopy No Vendor # on the C-Form and no W-9 attached Information on the C-Form not typed
P2P
Electronically via BEN: C-Forms will be sent back to the TAC Reviewer List If Missing Invoice # Invoice # must not contain words. It can consist of letters and numbers Missing Invoice Date Total dollar amount on lines does not equal what is written on the C-Form Invalid GL Account Duplicate Invoice # Name provided on C-Form doesnt match name in BEN SSN # on C-Form does not match number in BEN
32
III. RECEIPTS
33
Remember:
When entering receipts, you receipt a quantity or amount against the PO Line. You do not receipt the invoice. There is NO association between receipts and specific invoices.
EXAMPLE: PO created for QTY= 25,879 There are 4 invoices on Qty Rec hold. 3 for $7,327.84 [ea] and 1 for $3,863.92. A receipt is entered for QTY= 21,983.53 [total of 3 invoices] None of the invoices go off hold because the total quantity received must equal or exceed the total quantity billed
34
35
36
You can also view what was ordered, billed & receipted on a Purchase Order from Inquiry> Invoices.
37
I entered a receipt and applied the Holds Resolved stamp to the invoice. Why is the hold notification still in my web inbox?
Remember: Qty Rec holds are released in nightly batch processing. The hold will be released the night that receipts are entered in BEN. Therefore, its not necessary to apply a Holds Resolved stamp IF invoice is on Qty Rec hold ONLY.
38
P2P
Why we receipt
Universitys Financial Policy #2309 requires due diligence on the part of University employees to ensure the proper receipt and inspection of purchased goods. Departments must receipt goods and/or services for all purchase orders valued at $5,000 or greater before payment can be released to supplier.
http://www.finance.upenn.edu/vpfinance/fpm/2300/2309.asp
39
P2P
This message means, there are multiple distributions on your purchase order
40
Entering Receipts
with
Multiple Distributions
If a + sign is shown and the Destination Type is Multiple, this indicates there were multiple distributions used on this PO. This shows the quantity on the line level.
#1
In order to receipt the quantity, click on the + sign. The expanded lines are the quantities ordered per PO line/ per distribution.
#2
41
P2P
Remember:
You DO NOT receipt invoices, you receipt merchandise on a PO line. You have the ability to view the Quantity Detail folder in PO Manager. It shows:
42
P2P
Impact of Receipts
Whats the Impact on entering receipts?
Creates an accrual amount at the end of the fiscal year if the qty or amount receipted is MORE THAN the qty or amount billed. The unrecorded liability for goods and services that have been received but not yet billed to the university [invoiced in BEN]. Incorrect receipting can create an error to the Financial Statements. It is important to manage receipted POs throughout the year. To manage accruals, run the 900.Uninvoiced Receipts report. 43
NOTE: None of the other parameters need to be entered to run this report
44
http://www.finance.upenn.edu/ben/benfin/documentation/reportdoc/quickv/900.shtml
P2P
To better manage accruals, this report should be run monthly and receipts should be corrected by sending an email to apsup@exchange.upenn.edu. The email should include the following information: Purchase Order Number, PO Receipt number, PO Line number and what the receipted quantity should be This report is a useful tool for managers to identify : End users who have problems setting up purchase orders correctly End users who enter receipts at the time the PO is created or before goods and services have actually been received
P2P
46
47
48
49
AP responds Final Close is NOT an option for your PO Final Close request. Why?
Since the system does not inform AP on the reason WHY a PO can not be final closed, it could be one or more of the following reasons:
PO has been receipted but not yet billed (invoiced) An account segment on the purchase order has been disabled 50
P2P
In order to final close a purchase order the conditions mentioned in the previous slides must be met and an email must be sent to Accounts Payable at apsup@exchange.upenn.edu with the following information
Purchase Order Number Buyer Name Supplier Name Reason for final closing the purchase order
NOTE: Requests received and meet the conditions to Final Close, will be processed by 5 pm within 3 business days.
P2P = P2P HELPFUL TIPS & TOOLS
51
52
This function gives you the ability to see all PO Lines at once as shown on slide #49 without drilling down by screens.
53
54
55
VI. ENCUMBRANCES
56
Requisition Encumbrances
With the new version of BEN Buys, Oracle now requires Requisition Encumbrances.
57
Requisition Encumbrances
[continued]
MANAGE ENCUMBRANCES
There was an encumbrance on my 100.ORG report, but the dollar amount does not appear on my 163.Open Encumbrances report. Why? Use one of the following tools described to determine if the transaction is an invoice encumbrance. Invoice encumbrances should be created and relieved in the same batch, occasionally they dont. BEN Financials>GL Inquiry Responsibility Rev/ Expense Inquiry
Shows transactions [including Pending status] for Encumbrance, PO Adjustment Encumbrance, and Salary/ EB [which is summarized-no personal information available] Shows the Encumbrance details of the transaction [e.g. PO/Inv #/ Supplier
59
MANAGE ENCUMBRANCES
[continued]
Inquiry on Account gives you the ability to DRILL 60 down to view invoice detail
What if an encumbrance still exists after the PO has been final closed?
[This is a question thats been asked. This should not be happening, we implemented a process to prevent this]
The automated encumbrance relief process which was implemented 2 years ago will relieve these. This process kicks in during nightly batch processing the night after a 61 PO has been final closed.
P2P
MANAGE ENCUMBRANCES
[continued]
If your 163 report lists purchase orders from a year or so ago AND the purchase orders have been final closed, do the following:
Create a Manual PO Adjustment Encumbrance journal entry Send an email to benadmin@lists.upenn.edu to have the journal posted
http://www.finance.upenn.edu/benknows/
62
P2P
63
Reporting Tools
500 Matching Holds Extract: Can be run for large volumes of holds OR by departmental managers to review all holds for people working under them Spreadsheet format to slice and dice data Review the length of time an invoice has been on hold
http://www.finance.upenn.edu/ben/benfin/documentation/ reportdoc/quickv/500.shtml
501 Matching Holds Report: Can be run by any of the parameters or a combination there of [Org, Buyer and/or Fund] Useful to run in preparing for Grant Close Out Should be run by FUND to verify no invoices are on hold before disabling funds. A 000000 fund can only be run in conjunction with an ORG entered in the parameter. Useful to run to identify holds related to purchase orders created by an individual that left the department
http://www.finance.upenn.edu/ben/benfin/documentation/ reportdoc/quickv/501.shtml
64
Over the last several years, the Universitys policy has been to create accruals if $1K or greater.
http://www.finance.upenn.edu/ben/benfin/documentation/reportdoc/quickv/900.shtml 65
P2P
68
69
Where to L
Find helpful information available online
BEN Knows
The place to browse and search for possible solutions to your BEN Financials and BEN Reports questions.
http://www.finance.upenn.edu/benknows/browse_topics/
70
71
Invoice Imaging User Guide (for Purchase Order & C-Form): http://www.finance.upenn.edu/ftd/documentation/benpays.pdf
73
74
P2P
Travel & Expense c-forms now require Penn ID # for employees and student workers
1. Go to: http://benapps.isc-seo.upenn.edu/BEN Reports: System for retrieving financial and sponsored project information from the Data Warehouse in predefined formats; includes links to other applications such as GRAM and Position Inventory.
4. Then choose either: Home ORG- Provides employee payment detail by individual for employees within a home organization. Posted ORG- Provides employee payment detail by individual for employees paid by an account organization.
5. Enter Org and time period, and it will display Employee names and Penn ID 75 numbers.
P2P
4357
76