MyFloridaMarketPlace Disbursements 101 Webinar

*This training replaces the former Invoicing 101 training.

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Demonstration

• This slide will be the transition slide we use throughout the presentation to transition to the MFMP Training Environment– https://trn-buyer.myfloridamarketplace.com/Buyer/Main

MyFloridaMarketPlace Overview

• MyFloridaMarketPlace began July 1, 2003, and is Florida’s source for centralized procurement.

• Access to online catalogs and information about vendors that provide goods and services to the state.

• 24/7 online access to the system’s registered vendors, State Term Contracts, quoting, and sourcing.

Benefits of Using MFMP

• Reduced error rates.

• Faster order processing time.

• Electronic workflows.

• Electronic notifications.

• MyFloridaMarketPlace leverages the state’s significant buying power.

Confidential Information

• MyFloridaMarketPlace prohibits customers from including confidential information directly related to an individual in the system. This includes:

- Comments field

- Description

- Attachments

• Examples of common types of confidential information

Client /employee street address Email addresses

Telephone numbers Social Security numbers

Medical record numbers Health plan beneficiary numbers

Account numbers Certification or license numbers

Delegating Approval Authority

• When on leave and/or out of the office, complete a Delegation of Authority.

• Delegation of Authority allows approval of requisitions, invoice reconciliations (IR) and receipts in a timely manner in your absence.

• Submit your delegation in advance to obtain your supervisor’s approval before you leave.

• The scheduled delegation begins at 12 a.m., Eastern time on the date selected and ends at 11:59 p.m. on the selected End Date.

Demonstration

• Demonstrate Preferences– Delegation

• https://trn-Buyer.MyFloridaMarketPlace.com/Buyer/Main

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Invoice Overview

• MyFloridaMarketPlace invoices begin payment process.

• MyFloridaMarketPlace routes invoices based on commodity codes.

– Service orders, orders beginning with a “70-94" route IRs to the requester.

– Commodity orders, orders beginning with a number other than “70-94" require the completion of a receipt in MyFloridaMarketPlace.

• To process payment on an invoice, Finance & Accounting should look for receipts for commodities and approved IRs for services

Types of Invoices

• Three types of Invoices:

– PO-based invoice is based on a purchase order

– Contract-based invoice is based on a MyFloridaMarketPlace contract

– Electronic invoice is a vendor-created invoice

• Electronic Invoice benefits:

– Eliminates scanned attachments of paper invoices

– Prompt receipt of invoice from the vendor

– Reduce paper flow

– Expedite vendor payments

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Creating Invoices

Key Terms

• PO-Based Invoice – Invoice for purchase orders or contracts with release (purchase order).

• Contract-Based Invoice – Invoice created directly against the contract, no purchase order.

Invoice Notes:

• MFMP populates the invoice with the data set up on the purchase order and/or contract.

• Department of Financial Services requires a copy of the invoice as an attachment.

• Department of Financial Services requires Service Start and End dates for all service invoices.

Demonstration

• Create PO based invoice

• Create Contract based invoice from MFMP Contract– https://trn-Buyer.MyFloridaMarketPlace.com/Buyer/Main

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Invoice Reconciliation Basics

• Invoice Reconciliation is the action MFMP must take to process an invoice for payment.

– The process reviews and approves invoices for payment

– It is an “audit” of invoices

• Electronic invoices, PO- and Contract-based invoices create IRs.

• Invoice Reconciliation pre-audit

– Commodities – MyFloridaMarketPlace three-way match

– Services – MyFloridaMarketPlace two-way match

– MyFloridaMarketPlace lists discrepancies or differences on the IR as "Exceptions“

Invoice enters MFMP

MFMP pre-audits invoice &

creates IR

Exception Handler “Audits” “Submits” IR to

Invoice Manager

Invoice Reconciliation Basics

• Invoice Reconciliation workflow

– Commodities IRs route directly to Exception Handler

– Service IRs route to the Requester or the “On Behalf Of”

Reconciling Awaiting approval by the requester or Exception Handler

Approving Awaiting approval by the Invoice Manager or DFS.

Rejected Rejected by the Exception Handler or Invoice Manager.

Paid Processed completely

Invoice Reconciliation Status

Invoice Reconciliation Basics

Reconciling means to “audit” the IR

• Verify that for service based invoices, the service Start and End Dates are on the invoice. If not, add the information to the comment section of the IR.

• Review the Header Level and Line Level exceptions.

• Verify:

• The requester or OBO completed the receipt for the commodity,

• The transaction date is valid,

• The accounting information,

• There is no confidential information on the IR.

Invoice Reconciliation Workflow

Defining Roles

• Exception Handler

- Normally the first Finance and Accounting Approver

- Responsible for reconciling all exceptions

- Confirms the invoice matches the terms of the order

- Confirms agency received goods or approved services

- Confirms the transaction date is accurate

Defining Roles

• Invoice Manager

– Confirms the invoice should be approved

– Confirms the invoice is in compliance with Florida Statutes, Rules, Department of Financial Services (DFS) Expenditure Guide and all relevant Chief Financial Officer Memos

– Confirms the transaction date is accurate

– Last agency approver of the invoice

– FLAIR records Invoice Manager’s FLAIR username and password in FLAIR upon IR approval

– If the Department of Financial Services returns the IR for additional information, DFS adds the Invoice Manager to the approval flow

Header Level Exceptions

• Amount Variance

- Total cost of the invoice is different than total cost of the purchase order.

• Auto Reject Amount Variance

– Invoice amount does not match the amount remaining to pay on the PO.

• Invoice Reconciliation Already Exists

– An IR with the same invoice number and supplier already exists.

• PCard Order

– To prevent duplicate payment, MFMP does not allow customers to process invoices against orders marked on the requisition as a PCardorder. Process these invoices in FLAIR.

Line Item Exceptions

• Accounting Verification – Common to every IR

• Quantity Variance – Quantity on IR differs from quantity on PO

• Price Variance – Unit price on IR differs from unit price on PO

• Received Quantity Variance - Received quantity on IR differs from received quantity on receipt

Demonstration

• Review the Tabs on the IR

• Review & explain the two types of exceptions– https://trn-Buyer.MyFloridaMarketPlace.com/Buyer/Main

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Reconcile the Invoice Reconciliation

• Validate the transaction date

• Click the Invoice link – to validate a scanned copy is attached for manually entered invoices

– to ensure the Service Start and End date are populated for service invoices (especially important for eInvoices).

• Review Header Level Exceptions

• Review Line Level Exceptions

• Update/Review the Accounting information

– *Asterisk denotes required fields

Final Payment Indicator Encumber Funds check box

Encumbrance number

Encumbrance line number *Organization Code Prefix

*Expansion Option *Object Code Contract (FACTS Contract #)

Grouping Character Description

Demonstration

• Locate IRs to reconcile

• As Exception Handler, reconcile an IR– https://trn-Buyer.MyFloridaMarketPlace.com/Buyer/Main

Reconciling

Invoices Processed in FLAIR

• MyFloridaMarketPlace tracks all IRs in Paid status including IRs Marked Paid in FLAIR.

• Paid in FLAIR

– If you mark the IR "Paid in FLAIR":

• Update the accounting information to reflect FLAIR

• Complete a payment update eForm

• PO Balance is available on the purchase order. The PO Balance is the original PO amount minus any IRs paid.

Encumbrance Impacts

Scenario: A customer creates an encumbered order for $100 in MFMP. The MFMP Current FLAIR Amount and the FLAIR Balance are $100.

Transaction MFMP Current FLAIR Amount

Encumbrance Calculations

FLAIR Balance

Customer makes a $30 payment through MFMP

$70 $100 - $30 from MFMP to FLAIR

$70

Customer creates a change order and increases the order

by $40

$110 $70 + $40 = $110

+$40 from MFMP to FLAIR

$110

Encumbrance Impacts

Scenario: A customer creates an encumbered order for $100 in MFMP. The MFMP Current FLAIR Amount and the FLAIR Balance are $100.

Transaction MFMP Current FLAIR Amount

Encumbrance Calculations

FLAIR Balance

Customer makes a $10 payment against an MFMP

order directly in FLAIR

$100 -$10 directly to FLAIR and no impact to

MFMP

$90

Customer creates MFMP change order and increases

order by $20

$120 $100+$20=$120

+$20 added to MFMP and FLAIR

$110

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Approving

Steps to Approve an IR

• Verify Transaction Date

• Verify Accounting Details

• Verify a copy of the invoice is available

• Confirm that the IR should be paid

• Select Approve

– Invoice Managers FLAIR username and password pass to FLAIR to validate authority to approve payment

Demonstration

• Approve IR

• Discuss IRs returned by DFS auditor– https://trn-Buyer.MyFloridaMarketPlace.com/Buyer/Main

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

VPT Overview

• Vendor Performance Tracking (VPT) is the tool agency customers use to enter and monitor vendor performance on a per transaction level

• MyFloridaMarketPlace (MFMP) generates a survey after an invoice reconciliation (IR) moves to ‘Paid’ in MFMP

• Surveys generate for the following transactions:

– State Term Contracts (STC)

– State Purchasing Agreements (SPA)

– Alternate Contract Source (ACS)

– Agency Term Contracts

– Other transactions equal to or above $2,500 (including governmental entities)

VPT Surveys

• Surveys pre-populate with transaction-specific information

• Customers rate vendors across four categories ranging from 1 (Fails to Meet Most Requirements) to 5 (Exceeds Most Requirements):

– Performance to Specifications – e.g. compliance to contract specs

– Delivery – e.g. on-time delivery

– Invoicing – e.g. accurate billing

– Customer Service – e.g. prompt/courteous customer service

• Comments may be entered for a survey

– Vendors have the ability to view comments relating to their ratings

• Completion of the survey is optional

• MFMP displays the cumulative VPT ratings during the vendor selection process

VPT Ratings

Ratings display to the right when

selecting a vendor. To see the

vendors rating by category, click

the rating score.

This screen shot is an example of the email

notification that customers receive. When you

click the link MFMP takes you to the login page.

Once you log in, the system takes you to surveys

to complete.

Email Notifications

• Email Notifications• MFMP sends an email to the requester or contract manager (contact) for purchase orders and contracts.

• The email contains a link to VPT to complete the survey.

• MFMP provides one email per day for all “new” pending surveys.

• VPT surveys can be accessed at anytime through the Common Actions section of your dashboard.

• Open surveys are available until submitted or for 30 days.

Accessing Surveys

Select the Submit Pending Vendor Ratings

Access the VPT surveys from the Common Actions queue under Manage or by clicking on Manage on the menu bar and selecting “Vendor Performance”.

To access the survey, click on the name of the vendor that you are rating.

Accessing Surveys

Rating anything more or less than 3 requires a brief explanation of why.

Agenda

• MyFloridaMarketPlace Overview

• Invoice Overview

• Creating Invoices

− PO-based Invoice

− Contract-based Invoice

• Invoice Reconciliation Basics

• Reconciling

• Approving

• Vendor Performance Tracking (VPT)

• Resources

Resources

• For questions or assistance, contact the MFMP customer service desk at (866) 352-3776 or BuyerHelp@MyFloridaMarketPlace.com.

• Online resources at www.MyFloridaMarketPlace.com include MyFloridaMarketPlace and System Administrator manuals, training information and more.

• DFS Expenditure Guide:

https://www.myfloridacfo.com/Division/AA/Manuals/documents/ReferenceGuideforStateExpenditures.pdf

• To search for vendors:

– VIP Admin: https://vendor.MyFloridaMarketPlace.com.

• Username and password: "publicuser."

Resources

• Training Opportunities

– www.dms.myflorida.com/mfmp/agencycustomer/registration

• Training environments allow you to practice what you learn.

– The username is the same as your regular login.

– The password is “train30”

– MFMP Buyer Training Environment

• https://trn-buyer.myfloridamarketplace.com/Buyer/Main