procurement 201. 2 brite procurement 201 have fun and enjoy the opportunities we have to contribute...
TRANSCRIPT
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Procurement 201Procurement 201
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2BRITE Procurement 201
Have fun and enjoy the opportunities we have to contribute to SBBC’s future success!
Please turn off or silence cell phones and pagers
Please do not read or send email messages during class time
Respect those speaking and asking questions by keeping side discussions to a minimum
Please do not interrupt the person speaking We will start, break, and end on time All unanswered questions will be placed in
the “Parking Lot” and answers will be distributed later
Welcome and Ground RulesWelcome and Ground Rules
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3BRITE Procurement 201
LogisticsLogistics
Before we get started ...
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4BRITE Procurement 201
ConceptsConcepts
DemonstrationDemonstrationss
ExercisesExercisesBRITE BRITE
Classroom MaterialsClassroom Materials
(Let Me)(Let Me)
(Tell Me)(Tell Me)
(Show Me)(Show Me)
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5BRITE Procurement 201
At the end of this course, you should be able to:
Describe the requisition process
Create various types of requisitions
Describe the goods receipt/return process
Perform a goods receipt
Create a list of purchase requisitions based on your
own search criteria
Course ObjectivesCourse Objectives
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AgendaAgenda
Unit Time
Introduction 30 minutes
Unit One: Requisition Processing 3 hours
Unit Two: Goods Movement 1 hour
Unit Three: Purchasing Reporting 1 hour
Summary 30 minutes
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Requisition ProcessingRequisition Processing
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8BRITE Procurement 201
At the end of this Unit, you should be able to:
Define key terminology
Describe the various types of purchase requisitions
Display a purchase requisition
Identify the three sections of a purchase requisition
Create requisitions (standard, stock transport, and framework)
Describe the function of Catalog Content Management
Unit ObjectivesUnit Objectives
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9BRITE Procurement 201
At the end of this Unit, you should be able to:
Describe the process for procuring assets
Describe the process for creating requisitions against a grant
Describe the process for creating a textbook requisition
Display a purchase order for a given requisition
Unit Objectives (cont.) Unit Objectives (cont.)
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BRITE Key Terms BRITE Key Terms
Master Data Information that rarely changes. For example, Material Master Record or Vendor Master Record
Catalog Content Management
Online catalog of materials available for purchase both internally and externally that are on contract.
Document Type Used to identify the various types of purchasing documents (Standard Requisition, Framework Requisition, Stock Transport Requisition)
Business Area Used to identify an area of responsibility such as Food Services, Budget Office, or a specific school
Item Category A classification of the material or service being procured (standard, stock transport, service, etc.)
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BRITE Key Terms (cont.) BRITE Key Terms (cont.)
Account Assignment Category
Designates how the expense for a procurement will be charged (cost center, project, grant, etc.)
Material Group Category of materials; similar to a commodity code (classroom supplies, computer hardware, office supplies)
Cost Center/Fund Center
A unit of responsibility for capturing cost within a Business Area. Includes location number.
GL Account Number
Used to categorize expenses in the general ledger. For example, Consumable Materials or Computer Equipment (legacy system’s Class & Object Code)
Grant A source of funding against which materials and services may be procured
Invoicing Plan Used to schedule regular, periodic payments to a vendor
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Types of Purchase RequisitionsTypes of Purchase Requisitions
There are three types of Purchase Requisitions that will be discussed in this course:
Standard Requisitions Framework Requisitions
Stock Transport Requisitions
Are used for external procurements
Can be entered line-by-line or via Catalog Content Management (CCM)
Can be entered with or without reference to a Material Master Record
Are used for external procurements
Can be created using an attached list for orders of 25 or more line items
Cannot be used for assets
Invoicing Plan
Are used for internal procurements
Will always be entered via Catalog Content Management (CCM)
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Requisitions Requisitions
All Requisitions have three sections:
Header—Contains a Text tab where internal information can be entered
Item Overview—Shows an overview of all the line items on the Requisition
Item Details—Shows detailed procurement information about each line item on the requisition.
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Purchase RequisitionPurchase Requisition
Header
Item Overview
Item Details
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Account Assignment CategoriesAccount Assignment Categories
Each line item on a Requisition must have an Account Assignment Category. The following five account assignment categories will be covered in this course:
– <Blank> - Inventory (Warehouse)– Z – Asset (Use in Phase 1)– A – Asset (Use in Phase 2)– K - Cost Center– P - Project– Y - Grant
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Material GroupsMaterial Groups
The Material Group is a code used to group together materials with the same attributes (e.g., office supplies)
The Material Group will be the three-character National Institute of Governmental Purchasing (NIGP) code (e.g., 615 for “Office Supplies, General”
The Material Group will default for those items that have a Material Master Record
For those items that do not have a Material Master Record, the Material Group must be entered on the requisition
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Accounting DataAccounting Data
Accounting Object Number of Digits
Fund 3 or 4
Class 1
Function 4
Object 3
Phase 1
Sub-Object 2
Location 4
Type 1
Activity 5
Legacy Line of Coding
Accounting Object Composition
General Ledger (G/L) Account Number
Class + Object + Zeros
Eight Digits
Ex: 5 511 0000
Fund
Previous Fund # + 0 (if required)
Four Digits
Ex: 100 0
Functional Area
Function + Activity + Zeros
Sixteen Digits
Ex: 5101 00000 0000000
Cost Center
Business Area + Type
+ Location + 0
Ten Digits
Ex: 3307 1 1091 0
SAP Accounting String
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Demonstration and ExerciseDemonstration and Exercise
Scenario: Display a Purchase Requisition
Transaction Code: ME53N
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Demonstration and ExerciseDemonstration and Exercise
Scenario: Create a Standard Purchase Requisition
Transaction Code: ME51N
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Demonstration and ExerciseDemonstration and Exercise
Scenario: Change a Standard Purchase Requisition
Transaction Code: ME52N
Change the requisition you created in the previous exercise.
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What is Catalog Content ManagementWhat is Catalog Content Management
Catalog Content Management (CCM):
Is a web-interface that allows end-users to search for and order standard catalog items from established suppliers with active contracts
Allows end-users to select materials by pointing and clicking on catalog items
Allows end-users to create a Requisition in SAP directly from an on-line shopping cart
Reduces data input errors and redundancy
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CCM RequisitionsCCM Requisitions
Click the “Catalog” icon to access the on-line catalog.
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Catalog Content ManagementCatalog Content Management
CCM allows “point and click” selection of materials to be purchased
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72BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Create a Standard Purchase Requisition Using CCM
Transaction Code: ME51N
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Assets (Interim Process – Wave 1)Assets (Interim Process – Wave 1)
A Requisition item is considered an asset if its value exceeds $1,000
The account assignment category on the requisition is coded as “Z” for asset
For assets ordered against a grant, a Work Breakdown Structure (WBS) element will also be required
- WBS contains details about who owns the grant and where the money is being spent
Asset tracking will continue to be performed in PROPS (Property & Inventory)
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91BRITE Procurement 201
Requisitions for GrantsRequisitions for Grants
Non-assets ordered against a grant will have an account assignment category of “Y”
Assets ordered against a grant will have an account assignment category of “Z” during Wave 1
A WBS element must be entered on the requisition
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Requisition Against a GrantRequisition Against a Grant
The WBS element for items ordered against a Grant appears on the “Account Assignment” tab.
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93BRITE Procurement 201
Stock Transport RequisitionsStock Transport Requisitions
Stock Transport Requisitions: Will have an Item Category of “U” (Stock Transfer) and an
Account Assignment Category of “K” (cost center) Will go through an approval process similar to external
requisitions Will be automatically converted to stock transport orders
after all budget checks and approvals have been accomplished
Can be used for B-stock as well as procurements from the central warehouse
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Stock LocationsStock Locations
Stock Transports can come from any of these locations
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Stock Transport Requisition Process FlowStock Transport Requisition Process Flow
Requisition entered by school or
department
Budget check performed
Requisition approved by principal or department
head
Stock transport order
created from requisition
Material delivered from
warehouse
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96BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Create a Stock Transport Requisition for Material from the Central Warehouse
Transaction Code: ME51N
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Framework RequisitionsFramework Requisitions
Framework Requisitions are created for: Items Ordered via Attached Lists
– Must be items that cannot be procured with a P-card– Must be 25 or more line items– Must be non-assets
Items for which pricing is unknown until invoice is received (for example, fuel, landscaping, utilities)
Items to be paid for via Automatic Payment (Invoicing Plan, ex: lease of a portable)
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108BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Create a Framework Requisition Using an Attached List
Transaction Code: ME51N
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Payments for Framework Purchase OrdersPayments for Framework Purchase Orders
A two-way match (purchase order to invoice) is required—no goods receipt
A copy of the invoice is routed to the receiving school or department for verification and signature
Accounts Payable pays the invoice after it is approved
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All Textbooks From FSBD (Core and Non-All Textbooks From FSBD (Core and Non-Core) – Elementary & Middle SchoolsCore) – Elementary & Middle Schools
Requisitions for textbooks are stock transport requisitions
Textbook Requisition Process:
Create a Stock Transport
Requisition to Textbook
Warehouse Non-Core Textbook
Warehouse bundles PR’s &
orders from FSBD
Non-Core Textbooks shipped to
warehouse or directly to school
Note: These Stock Transport requisitions are entered as text items.
Core Textbooks fulfilled from the
Warehouse
Core Textbooks shipped to
schools
Requisition Approved by Principal &
Instructional Materials Facilitator
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132BRITE Procurement 201
All Textbook Requisitions From FSBD – All Textbook Requisitions From FSBD – High Schools (Core and Non-Core)High Schools (Core and Non-Core)
Requisitions for textbooks are “framework requisitions”
Textbook Requisition Process:
Select books on FL School Book
Depository (FSBD) Website
Attach PDF File to Requisition
and Save
Requisition Approved by Principal &
Instructional Materials Facilitator
Purchase Order Created by
Buyer
Get Order Total from Website
Create & Hold Framework
Req w/Order Total
Enter Req # in FSBD Order on
Website and Save
PDF File is Automatically Printed From
FSBD Website
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You should now be able to:
Define key terminology
Describe the various types of purchase requisitions
Display a purchase requisition
Identify the three sections of a purchase requisition
Create requisitions (standard, stock transport, and framework)
Describe the function of Content Catalog Management
Unit ObjectivesUnit Objectives
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134BRITE Procurement 201
You should now be able to:
Describe the process for procuring assets
Describe the process for creating requisitions against a grant
Describe the process for creating a textbook requisition
Display a purchase order for a given requisition
Unit ObjectivesUnit Objectives
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Knowledge CheckpointKnowledge Checkpoint
Question: What three types of requisitions did you learn how to create in this unit?
Answer: Standard, Framework and Stock Transport
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AgendaAgenda
Unit Time
Introduction 30 minutes
Unit One: Requisition Processing 3 hours
Unit Two: Goods Movement 1 hour
Unit Three: Purchasing Reporting 1 hour
Summary 30 minutes
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Goods MovementGoods Movement
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At the end of this Unit, you should be able to: Describe the Goods Receipt and Return processes Perform a Goods Receipt Perform a Goods Return
Unit ObjectivesUnit Objectives
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139BRITE Procurement 201
Goods Receipts and Returns in SAPGoods Receipts and Returns in SAP
A Goods Receipt is executed in SAP any time material is received against a standard purchase order
When a Goods Receipt is executed, a material document is created in SAP that includes details of the transaction (date, quantity, storage location, etc.)
A Goods Return is executed to return material to a vendor
Goods Returns must be coordinated with Purchasing and Accounts Payable
Goods Receipt and Returns have different movement types in SAP, such as:
– 101: Goods Receipt for Purchase Order into Warehouse
– 122: Return Delivery to Vendor
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140BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Perform a Goods Receipt
Transaction Code: MIGO_GR
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149BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Perform a Goods Return
Transaction Code: MIGO
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159BRITE Procurement 201
You should now be able to: Describe the Goods Receipt and Return
processes Perform a Goods Receipt Perform a Goods Return
Unit ObjectivesUnit Objectives
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160BRITE Procurement 201
Knowledge CheckpointKnowledge Checkpoint
Question: What type of Purchase Order requires a Goods Receipt?
Answer: Standard
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AgendaAgenda
Unit Time
Introduction 30 minutes
Unit One: Requisition Processing 3 hours
Unit Two: Goods Movement 1 hour
Unit Three: Purchasing Reporting 1 hour
Summary 30 minutes
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Purchasing ReportingPurchasing Reporting
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At the end of this Unit, you should be able to: Describe the use of List Displays in SAP Display a list of Purchase Requisitions
Unit ObjectivesUnit Objectives
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List Displays in SAPList Displays in SAP
A List Display in SAP is a powerful and flexible tool that allows End-Users to:
Generate a list of purchasing documents, materials, vendors, etc. that match a set of search criteria
Perform real-time, ad-hoc reporting
Change the content and layout of reports
Print hard copy reports or export them to other applications such as Excel
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165BRITE Procurement 201
Demonstration and ExerciseDemonstration and Exercise
Scenario: Display a List of Purchase Requisitions
Transaction Code: ME5A
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You should now be able to: Describe the use of List Displays in SAP Display a list of Purchase Requisitions
Unit ObjectivesUnit Objectives
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Knowledge CheckpointKnowledge Checkpoint
Question: What are some advantages of using list displays in SAP?
Answer: Real-time information, ad-hoc reporting, ability to change content and layout, export to Excel.
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Follow-Up & Support OptionsFollow-Up & Support Options
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HELP DESK 754-321-8120 BRITE Website:
web/erp -or-
http://www.broward.k12.fl.us/erp/
e-Learning
Context Sensitive Help
CAB Conference
BRITE LITES (By Role)
User Support OptionsUser Support Options
ESS Appraisal
BlackboardFollow-UpFollow-Up