Transcript CAS Supplier Training Presentation - Freeport

CAS Supplier Summit
Presentation
2009
www.fcx.com
Agenda
 What is CAS?
 CAS Process Overview
- Service Contract Cycle
 Benefits of CAS
 Plan
-
Training Plan
Data Conversion Plan
Transition Plan
Implementation Plan
 CAS Support
 Comments & Questions
 Supplier Breakout Session
What is CAS?
 CAS (Contract Administration System) is the
new global online system for contract requests
and administration of contracts
- Users can track the status of contract requests,
contract budget, service orders, service receipts,
and service invoices
- Suppliers will be paid correctly and timely
(if instructions are followed)
Service Contract Cycle
Management
Initiation
Authorization
of Service Commitments
Contract
Request
Emphasize
Actualization &
Efficient Management
of Service Commitments
Contract
Service
Order
Service
Receipt
Payment
Correct & Timely
Service Payments
Proforma
Invoice
Contractor
Invoice
Service Contract Cycle
Management
Initiation
Authorization
of Service Commitments
Contract
Request
Emphasize
Actualization &
Efficient Management
of Service Commitments
Contract
Service
Order
Service
Receipt
Payment
Correct & Timely
Service Payments
Proforma
Invoice
Business Process:
Contract Request
1. FCX identifies need for a service and end user enters Contract Request
Contract
2. FCX issues Contract to the Supplier
Contractor
Invoice
Service Contract Cycle
Management
Initiation
Authorization
of Service Commitments
Contract
Request
Emphasize
Actualization &
Efficient Management
of Service Commitments
Contract
Service
Order
Service
Receipt
Payment
Correct & Timely
Service Payments
Proforma
Invoice
Contractor
Invoice
Business Process:
Service Order (SO)
1. FCX generates SO against the Contract and notifies Supplier to commence work
2. Supplier completes work
Receipt of Services
3. FCX confirms work has been completed and updates work completed in CAS
Service Contract Cycle
Management
Initiation
Authorization
of Service Commitments
Contract
Request
Emphasize
Actualization &
Efficient Management
of Service Commitments
Contract
Service
Order
Service
Receipt
Payment
Correct & Timely
Service Payments
Proforma
Invoice
Contractor
Invoice
Business Process:
Proforma Invoice (PI)
1. CAS generates a PI based upon Receipt of Services
2. PI is emailed to Supplier
Contractor Invoice
3. Supplier receives and reviews PI prior to invoicing FCX
4. If PI matches Contractor Invoice:
• Contractor sends invoice to FCX (Invoice must reference FCX’s PI No. and match amount)
• FCX receives invoice & pays Supplier
5. If PI does not match Invoice:
• Reconciliation required prior to invoicing
Service Contract Cycle
Payment
Initiation
Management
Authorization
of Service Commitments
Actualization &Emphasize
Efficient Management
of Service Commitments
Contract
Request
Contract
Business Process:
Contract Request
1. FCX identifies need for a
service and end user
enters Contract Request
Contract
2. FCX issues Contract to
the Supplier
Service
Order
Service
Receipt
Business Process:
Service Order (SO)
1. FCX generates SO against
the Contract and notifies
Supplier to commence work
2. Supplier completes work
Correct & Timely
Service Payments
Proforma
Invoice
Contractor
Invoice
Business Process:
Proforma Invoice (PI)
1. CAS generates a PI based upon
Receipt of Services
2. PI is emailed to Supplier
Contractor Invoice
3. Supplier receives and reviews PI
Receipt of Services
prior to invoicing FCX
3. FCX confirms work has been
completed and updates work 4. If PI matches Contractor invoice:
• Contractor sends invoice to FCX
completed in CAS
(Invoice must reference FCX’s PI No.)
• FCX receives invoice & pays Supplier
5. If PI does not match invoice:
• Reconciliation required prior to invoicing
Benefits of CAS
 Supplier Benefits
- Less reconciliation effort due to proforma validation
prior to invoicing
- Match between Contractor Invoice and Proforma
Invoice prompts automatic load of invoice with
timely and accurate payment to supplier
- Improved communication with FCX on contract
milestones such as upcoming expiration dates
- Direct communication with FCX End User for contract
transactions and services rendered
Data Conversion Plan
 Active Contracts, Service Orders, and Invoices will be
converted into the new system
- No action is required by supplier for conversion
 To ensure FCX has correct email addresses for
existing Service Orders, Suppliers should fill out
form before leaving summit today
Transition Plan
 Suppliers should work with FCX users to get open
invoices approved prior to Go-Live Date
 Services performed prior to Go-Live Date can still be
invoiced with Service Order Number
 Services performed after Go-Live Date must include
Proforma Invoice Number
- Invoices without a PI number will be returned to Supplier
(to email listed on Contractor invoice)
- Invoices with mismatch will be sent to Supplier and Contract
Responsible for resolution
Training Plan
 Step 1
- Supplier Summit Meetings
 Step 2
- Quick Reference Guide
•
•
•
•
•
•
Service Contract Hierarchy
Sample Service Order
Sample Proforma Invoice
Invoice Submission
Invoice Inquiry
Discrepancy Resolution
 Step 3
- Contact Local Contract Administration Team
Implementation Plan
 Supplier Summits: July 13th – 28th
 FCX User Training: July 7th – August 15th
 North America Go-Live: August 17th
CAS Support
 General questions about the CAS project can be
emailed to the [email protected]
 CAS training material
(Electronic version of Supplier Quick Reference Guide)
- Will be posted shortly at www.fcx.com
- If needed earlier contact Veronica Rosell at
[email protected]
Comments
&
Questions
Supplier Breakout Session
Service Contract Hierarchy
End
User
Contract
Administrator
End
User
Contract
Responsible
CAS
Supplier
Contract
Request(s)
Service
Agreement
Service
Order
Service
Receipt
Proforma
Invoice
Contractor
Invoice
Service
Order
Service
Receipt
Service
Order
•Service
•Once
Service
Orders
Receipt
can can
have
is create
created
multiple
CAS
Service
willService
automatically
Receipts
generate
one Proforma Invoice, and
•Multiple
End Users
multiple
Orders against
a contract
Supplier
will only
be allowed
one
invoice forperson
each Proforma
Invoice. as the person
•Each Service
Order
will havetoa submit
Contract
Responsible
who is designated
•Supplier
that
will approve
will not Service
be able Receipts
to combine
for several
that Service
invoices
Order
intoand
one.
resolve
Supplier
invoice
invoice
discrepancies.
must match
Proforma
Invoice
amount.
•Contract Responsible and End User will often be the same person
•However, if Supplier believes Proforma Invoice is incorrect. Supplier should contact person
listed on the Proforma Invoice to resolve discrepancy.
Sample Service Order
(Work Authorization)
FCX contact to resolve
discrepancies
Sample Proforma Invoice
Proforma Invoice
will be sent to
email listed
Contractor Invoice must
include PI number &
match amount
Invoice Submission
 Contractor Invoices
- Must include Proforma Invoice Number
(Invoices without a PI number will be rejected)
- Should include Supplier’s email address
- Must match amounts from Proforma Invoice
- Does not need to have Service Order listed
- Should be submitted to [email protected]
Invoice Inquiry
 Approved Invoices
- Status can be viewed in VIP portal at http://vip.fmi.com
 Unapproved Invoices
- Status will not be visible through VIP Portal
- Questions regarding unapproved Invoices can be directed to:
Phone: 602-366-8200
Email: [email protected]
Fax:
602-453-1639
Discrepancy Resolution

Discrepancy resolution should take place before Supplier submits
invoice

If Supplier submits an invoice with a PI number, but it does not
match PI, the following steps will be taken:
1. Invoice will be loaded but not paid
2. Contract Responsible person will be notified of discrepancy
3. Contract Responsible can choose to:



Reject Invoice - Supplier will be notified and will need to send corrected invoice
Modify Service Receipt in the system and approve invoice
Create a new Service Receipt/Proforma Invoice and tie the invoice to the new PI
4. If Contract Responsible modifies or creates a new service
receipt, then Contract Responsible has the option to send
the revised Proforma Invoice to the supplier.


A modified PI will still contain the same PI number but different version number
A new Proforma Invoice will contain a new Proforma invoice number
Return to
Training Plan