Transcript iProcurement - University of Melbourne

Introduction to the Business Processes for
iProcurement
i-Procurement Introduction
Contents
1. Procure to Pay Overview
2. Process for requisitioning goods and services to receipting
delivery
3. What the system will look like
4. Making non-catalogue requisitions
5. Receipt delivery of goods and services
Procure to Pay Overview
Procure to Pay is made up of several smaller processes that will
improve how we:
• Select and requisition goods and services
• Approve purchases
• Order from preferred suppliers
• Process invoices and payments
• Get reimbursed for business expenses
Process for requisitioning goods
and services to receipting delivery
iProcurement
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iProcurement Roles
Preparer: This role can access iProcurement to make online requests for
goods and services (called requisitions) for themselves or colleagues who do
not have access to iProcurement (Requesters)
Buyer: Business Centre staff who review non-catalogue requisitions (such as
services or unique specialist goods), contact potential suppliers, raise purchase
orders with suppliers and organise for delivery.
Approver: Person with a financial delegation, permit-holder or other internal
authoriser who needs to approve the requisition before it is sent to a supplier
or buyer.
Supplier: Preferred suppliers to the University with items on the iProcurement
catalogue or can be used for non-catalogue requisitions. They will need a
purchase order from UoM.
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Requisition to Receipt Process (iProcurement)
Green is standard process
Yellow shows departure from standard process
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Requisition to Receipt Process (iProcurement)
• The new process to procure goods and services starts with a
requisition for goods or services created in iProcurement.
• Once approved, the requisition of a catalogue item or standing
order will be automatically created as a purchase order and
sent to the supplier.
• If a requisition for goods and services is not on the catalogue,
the request can be created as a “non-catalogue requisition”
• Once approved, a Buyer (staff in a business centre or academic
centre) will review and convert the requisition into a purchase
order
• Purchase orders will be sent to suppliers
• Goods and services are receipted by the
person who prepared the requisition
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What the system will look like
iProcurement
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Shop for Catalogue Items: iProcurement Stores
Logging onto iProcurement via Themis, will open up to the Shop
page. Here you can find Stores containing categories of
approved items for purchase.
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Shopping Cart
Raising a requisition is just like online shopping.
You can browse or search for items you need and add them to
your shopping cart.
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Searching
When iProcurement launches, there will be 500,000 items
on the catalogue.
• You can conduct a simple keyword search for catalogue
items
• The Advanced Search provides more filters to refine your
search including searching by products by Supplier
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Punchouts
iProcurement also
includes punchouts
that enable the
Preparer of a
requisition to visit a
supplier’s catalogue,
search for items on
the supplier’s website
and add selected
products into your
shopping cart in
iProcurement.
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Select products and raise requisitions
Items from the
catalogue or an external
supplier website linked
to iProcurement just
need to be searched for
and selected and they
will be added to your
shopping cart ready for
checkout.
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Requisitions Requiring a Permit
• Some items available on iProcurement have permit and
licensing requirements
• A pre-purchase checklist will need to be completed to
procure these items
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3 Step Checkout: Delivery and Billing
• A 3-step checkout process to proceed with the purchase
• A delivery address can be specified for the order
• The coding for the charge account defaults to the natural
account according to the requester and item requisitioned
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3 Step Checkout: Approvals
• Click Submit to send requisition to an Approver.
• Approval may not be required if the purchase value is
under your financial delegation (e.g. $1000)
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3 Step Checkout: Submit a Requisition
Once you submit a
requisition for
catalogue items that
do not need approval,
your requisition will be
converted to a
purchase order and
emailed to the
supplier.
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Making non-catalogue requisitions
iProcurement
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Requisitioning Non-Catalogue Items
Non-catalogue requests used to make purchases not in local
stores or suppliers punchout store.
• Three types of non-catalogue requests:
– Goods billed by quantity e.g.10 books @ $25 each.
– Goods or services billed by amount e.g. supplier quoted work for a
project at $10,000
– Services billed by quantity e.g. supplier quoted 40 hours @ $80 per
hour
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Non-Catalogue Standing Order
– Requisition at the start of the year, using Goods or Services Billed by
amount and lump sum as an estimate of yearly spend.
– At each invoice receipt order reduces by that amount leaving the
remaining to be receipted for future invoices
– Closure of the order when no longer required will reverse out the
remaining commitment in the GL.
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Non-Catalogue Requisitons: Select Category
• Need to manually select the Category
– Category will determine part of the coding for the Charge Account
(the GL natural account) so it is essential to be accurate with
selection
» Search for and select a preferred supplier listed on
iProcurement or manually enter supplier details if
item cannot be procured from preferred suppliers
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Non-Catalogue Requisitions: Fixed Assets
• A non-catalogue requisition will be raised as per usual,
ensuring that the category chosen is correct;
– Assets – Capitalised
– Assets – Attractive
according to value
• After Add to Cart, an
extra screen asking if the
Asset Purchase Quantity is
for one or more items
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Non-Catalogue Requisitions: Select Buyer
• You can use your default delivery and billing details or
change these if required (e.g. preparing req’s for others)
• Suggested Buyer is your nominated business centre buyer
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Receipt delivery of goods and services
iProcurement
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3 Way Matching
As all purchases requiring a purchase order, goods
receipting now essential process.
• All purchase order lines will be set at a 3-way matching
approval level.
– It ensures that only items that have been
receipted in the system will be paid for.
– Invoices will be assigned a hold and
not get paid if the user has not
entered a receipt to say they
have received the goods or services.
Requisition
(Purchase
Order)
3 way
Match
– This also allows a way to hold a payment to
a supplier if there is a dispute over delivered
goods or services
Receipt
Delivery
Invoice
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Receipting Goods
Select Items screen will display lines available for receipting.
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Partial Receipt
• To enter a partial receipt follow only enter amount
received in the Receipt Quantity.
– In this example only 10 of the 50 chairs ordered have arrived
– When you receipt remainder of order at a later date default
Receipt Quantity is lower and the Received column has 10 items
already received.
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Confirm goods
• Confirm goods have been received, handled and stored in
accordance with EHS requirements and in line with the
pre-purchase checklist
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Asset Receipting
• Receipt of an asset purchase requires additional fields to
essential information for the creation of asset
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Getting ready for go live
• Know who you can contact to requisition goods and services
(Your Budget Division nominated Preparers)
• Confirm you local approval hierarchy
• Confirm your delivery addresses
• For non-catalogue requisitions, know who in your business
centre are the nominated Buyers
• Use preferred suppliers
• Undertake you training
• Follow further communications how to manage exceptions:
• Understand what categories of purchases are exceptions to
iProcurement
• Know how to receipt invoices for orders made before
iProcurement system
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Getting ready for go live
• The use of purchasing cards will be limited to University staff
that travel and are to be used for travel, accommodation and
subscription purchases only.
• All other purchases will be requisitioned through iProcurement
or by exception.
• A limited number of budget division staff (typically Business
Centres Buyers) will be authorised to make transaction by
Purchase Card (e.g for low value, one-off transactions)
• The Intranet Creditor Management System (iCMS) used for
purchasing cards and monthly card expenditure reconciliations
will be replaced by iExpenses.
• The paper-based employee expense report forms will be
replaced by iExpenses.
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Support Resources
FAQs
TEE Website
Overview of Release 2
changes, resources and
support
Role Transition
What Does It Mean For Me
overviews of role changes
Themis Reference Cards
Online step-by-step guides
to using iProcurement and
iExpenses.
Online Training
Several new online modules
• Introduction to iProcurement
• Prepare and Receipt
Requisitions
• Approving Requisitions
• Introduction to Buying using
iProcurement
• Creating an Expense Claim iExpenses
Key Users
The functional experts for
their budget division and the
‘go to’ people within a
budget division for help with
iProcurement and
iExpenses.
Training
Instructor-led training:
• Administrator
• Catalogue Administrator
• Buyer Work Centre
• Internet Expenses
• On-the-job mentoring
(post go-live)
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© Copyright The University of Melbourne 2012