2 procure to pay life cycle 1

7/31/2019 2 Procure to Pay Life Cycle 1

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Procure to PayLife Cycle

End to End Process


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P T P FlowP T P Flow ........................................................................................................ 2

Pre-Requisites: ........................................................................................................ 3

Process Steps: ......................................................................................................... 5

Create Supplier: ABC Vodafone Supplier .................................................................. 6

Create Supplier: ABC Idea Supplier ......................................................................... 15

Stage-2: Create Purchase Order ............................................................................. 35

Stage-3: Receiving Items ....................................................................................... 40

Check the Quantity of Item in Sub Inventory after Receiving ..................................50

Submit Program for Pay on Receipt Auto invoice .................................................... 53

Stage-4: Invoice and Payment ............................................................................... 57

Stage-5: Create Accounting for Payment and Invoice ............................................. 69

Objectives:After completing the document one should be able to understandthe whole overview of Procure to Pay Process implementation.

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Able to create a requisition.

Create a Purchase Order

Create a Receipt.

Create an Invoice automatically.

Able to make payment.

NOTATIONS:

(N) = Navigator

(M) = Menu

(T) = Tab

(ST)= Sub Tab

Pre-Requisites:1. You have a login name and password.

2. User has assigned Inventory, Purchasing, and Payables Modules.

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3. User should assign employee and employee assigned as a buyer.

4. Employee position has the approval limit.

5. There should be quantity in Inventory for the item.

6. Supplier should have one Site with purpose Purchasing and Payment

7. Supplier (T)Purchasing (ST) Self Billing Pay On: Receipt and Invoice Summary:

Pay Site

8. User should know to whom he needs to supply.

9. User should know from which Bank account the money has to be debited.

10.Payment Method is assigned at Supplier Site level

NOTE:This document is explained considering that all the basic setups are done.

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Process Steps:1. Check the quantity of the item in Sub inventory.

2. Enter the Purchase Requisition.

3. Approve the Purchase Requisition.

4. Create the Purchase Order.

5. Approve the Purchase Order.

6. Raise a receipt on receiving the quantity.

7. Check the quantity in Sub inventory.

8. Raise an Invoice automatically.

9. Validate the Invoice.

10. Do the payment.

11. Create Accounting for Invoice

12. Create Accounting for Payment

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Create Supplier: ABC Vodafone Supplier

(N) Suppliers> Entry Suppliers

Click on (B) Create Supplier

Select Supplier Type: Standard Supplier

Enter Organization Name, Alias, Country

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Click on (B) Apply

Click on (ST) Address Book

Click on (B) Create

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Enter Address Line1, City, County, State, Postal Code, Address Name and Address

Pursose

Click on (B) Continue

Select Site Name for Operating Unit

Click on (B) Apply

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Site is created

Click on (i) Manage Sites

Enable Purchasing and Pay

Click on (B) Apply

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Click on (ST) Purchasing

Enable Create Debit Memo from RTS Transaction

Click on (B) Self Billing

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Select Pay on: Receipt, Invoice Summary Level: Pay Site and Enable Create Debit

Memo from RTS Transaction

Click on (B) Save

Click on (B) Receiving

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Enter Enforce ship to, Receipt Routing, Match Approval Level, Quantity Received

Tolerance, Quantity Received Exception, Days Early Received and Days Late Receipt

Allowed

Click on (B) Save

Click on (ST) Payment Details

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Select Default Payment Method

Click on (i) Update on Supplier Sites

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Enable Default Payment Method

Click on (B) Save

Click on (ST) Invoice Management

Select Pay Group: ABC PAY GROUP

Click on (B) Terms

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Select Terms: Immediate

Click on (B) Save

Create Supplier: ABC Idea Supplier(N) Suppliers> Entry>Suppliers

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Click on (B) Create Supplier

Select Supplier Type: Standard Supplier

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Click on (B) Apply

Click on (ST) Address Book

Click on (B) Create

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Enter Address Line 1, City, County, State, Postal Code, Address Name and enable

Address Purpose: Purchasing



Click on (B) Apply


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Enable Purchasing

Click on (B) Apply

Click on (B) Create

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Enter Address Line 1, City, County, State, Postal Code, Address Name and enable

Address Purpose: Payment



Click on (B) Apply


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Click on (i) Manage Sites for Payment Site

Enable Pay

Click on (B) Apply

Click on (B) Purchasing

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Enable Create Debit Memo from RTS Transaction

And enable Create Debit Memo from RTS Transaction at Purchasing Site Level

Click on (B) Save

Click on (ST) Receiving

Enter Enforce ship to, Receipt Routing, Match Approval Level, Quantity Received

Tolerance, Quantity Received Exception, Days Early Received and Days Late Receipt

Allowed

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Click on (B) Save

Click on (ST) Payment Details

Select Default Payment Method

Click on (B)Save

Click on (i) Update for Payment Site

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Enable Default Payment Method

Click on (B) Save

Click on (ST) Invoice Management

Select Pay Group: ABC PAY GROUP

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Click on (T) Terms

Select Terms: Immediate

Click on (B) Save

Step wise Analysis with Screen Shots:

Check the Quantity of Item in Sub Inventory.

Login to Inventory Module

(N) On-hand, Availability >On-hand Quantity

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Enter Subinventory and

Item/Revision

and Click on (B)

Find

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Click on (B) Find

Click on (B)

Availability

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Stage-1: Create Requisition

Raise a Requisition Approve it, Autocreate a Purchase Order.

Login to Purchasing Module

(N) Requisitions>Requisitions

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Enter the

Purchase

Requisition

Enter the Supplier

Information, Item,

Quantity, Need by

date, Sub inventory

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Click on Save Icon or Ctrl+S (For Saving)

After saving, Requisition Number will be generated (as shown in the Screen Shot)

copy the Number

Click on (B) Approve

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Click on (B) Ok

Navigate to Requisition Summary to check Requisition Status

(N) Requisitions> Requisition Summary

Enter the requisition number

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Click on (B) Find

Requisition status has been approved

Now we need to create a Purchase Order based on the Requisition.

(N) Auto Create

Remove the Buyerin Buyer field

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Enter Requisition Number

Click on (B) Find

Select Requisition

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Click on (B)

Automatic

Click on (B) Create

Stage-2: Create Purchase Order

Enter Purchase Order Match level, Invoice Match Option, Approve

Purchase Order and

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Check Purchase Order status.

Now Purchase Order is created

Click on (B) Shipments

Click on (T) More

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Select Match

Approval Level: 3-

Way

Select Invoice Match Option: Receipt

Close Shipments window

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Click on (B) Approve

Click on (B) Ok

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Check the status of the Purchase Order Number

(N) Purchase Order > Purchase Order Summary

Enter Purchase

Order Number

Click on (B) Find

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Status of Purchase Order is approved

Stage-3: Receiving Items

Receiving Items and Check Quantity in Inventory

(N) Receiving > Receipts

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Enter Purchase Order Number

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Click on (B) Find

Minimize

Receipt Header

Window

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Enable Quantity Receive

Click on Icon Save or Ctrl+S (For Saving)

Click on (B) Header

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Make a note of

Receipt Number

Check the

Quantity of Item in Sub Inventory after Receiving

Login to Inventory Module

(N) On-hand , Availability> On-hand Quantity

Enter Sub inventory

and Item/Revision

and Click on (B) Find

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Click on (B) Find

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Click on (B) Availability

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Submit Program for Pay on Receipt Auto invoice

Login to Purchasing Module

(N) Reports> Run

Click on (B) Ok

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Select Program: Pay on Receipt Autoinvoice

Enter Receipt Number Parameters Window

Click on (B) OK

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Click on (B) Submit

Click on (B) No

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Click on (B) View Output

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Make a note

of Invoice

Number

Stage-4: Invoice and Payment

Query Invoice in Payables window, Validate and Pay Invoice

Login Payables Module

(N) Invoices> Entry> Invoices

Query Invoice Method-1

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Click on Torch Icon

Enter Invoice Number

Click on (B) Find

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Query Invoice Method-2

(N) Invoices> Entry> Invoices

Press F11 on Key Board

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Enter invoice number in Invoice Number Field

Press Ctrl+F11 on Key Board

Validate Invoice

Click on (B) Actions

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Enable Validate and click on (B) Ok

Now Status of Invoice is validated

Click on (B) Lines

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See the Purchase Order is Automatically Match to Invoice and PO Number,

Receipt Number and Quantity

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Click on (B)

General


Enable Pay in Full

Click on (B) Ok

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Supplier Information is defaulted

Enter Payment Date, Bank Account

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Enter Payment Document, Payment Process Profile

Click on Save Icon or Ctrl+S (For Saving)

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Enable Create

Accounting

and Final

Click on (B) Ok

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Click on (B) Ok

Stage-5: Create Accounting for Payment and Invoice

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See Accounting Status is processed

Close this Payment Window

To View Accounting Entries for Payment

(N) Tools> View Accounting

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CloseSubledger

Entry Lines

Window and

Payments

Window


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Enable Create Accounting and Final

Click on (B) Ok

Click on (B) Ok

See the Status of Accounting

Yes

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To View Accounting Entries for Invoice

(N) Tools> View Accounting Events

Click On (B) View Journal Entries

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2 procure to pay life cycle 1

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