Generate Purchase Orders

1
State of ConnecticutCore-CT Project Generate
Purchase Orders 8 Hours
Updated 02/25/2003
2
Getting Started
Welcome

• Welcome to the Generate Purchase Orders course!
• Instructor introduction
• Participant introduction
• Training facility orientation
• Ground rules
• To participate in this course, you should have
  completed the following training
• PeopleSoft Navigation Tutorial
• Purchasing Overview course

3
Objectives
Welcome

• In this training, you will learn to
• Apply the new Purchasing processes that you
  learned about in the Overview course. We will
  specifically focus on the following processes
• Create and Update POs Manually
• Create POs in the event of an emergency
• Approve POs
• Budget Check POs
• Dispatch POs
• Create PO Change Orders
• Close and Reconcile POs
• Use Core-CT as a tool in supporting the processes
• Utilize PeopleSoft functionality to maximize your
  efficiency

4
Agenda
5
Agenda
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Training Tools
Welcome

• In this training session, we use tools created
  specifically for this course.
• Presentation
• We use a PowerPoint presentation to guide us
  through our discussion of processes and key
  points related to using Core-CT
• Exercises
• We developed exercises that enable you to
  practice the skills you learn in each module
• Training Database
• The functionality in our database mirrors the
  Core-CT production environment closely, though
  some changes will likely be made prior to go-live
  
• Significant changes made after training will be
  communicated to you
• Data is loaded into the Core-CT training database
  to help you learn how to use Core-CT, not to
  reflect a specific agencys transactions
• You can make mistakes and experiment without
  consequence

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Training Tools
Welcome

• We also use a web-based help system during the
  class. This tool is available to you after
  go-live.
• Web Learning Assistant
• Web-based tool that provides help and detailed
  information for specific Core-CT job functions
• Contains concepts, procedures, flows, job aids,
  and a glossary
• The WLA is your primary reference tool (Now and
  once Core-CT goes live)
• The WLA will evolve with Core-CT. As
  functionality changes, so will the content in the
  WLA

Lets walk-through the tool together now. WLA
Browse Path Purchasing, Adding and Changing
Purchase Orders
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Training Tools
Welcome

• Job Aids are available to reinforce the
  information introduced in this course. Job Aids
  summarize key information and outline critical
  processes in Core-CT.
• General Job Aids
• Module Specific Job Aids
• Reporting Job Aids

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Core-CT Navigation
Welcome

• Together we will practice the skills you learned
  in the Core-CT Navigation Tutorial.
• Universal Navigation Header
• Activity Log in and use the Universal Navigation
  Header to sign off Core-CT
• Left-Hand Navigation Menu
• Activity Use the Left-Hand Navigation Menu to
  step through the various levels of the directory
  structure
• Page Tabs
• Activity Use page tabs to move between pages
  within a component
• Links
• Activity Use links to access and return from
  pages within a component

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Agenda
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Overview
Create an Online (Manual) PO

• Within Core-CT, purchase orders are the sole
  encumbering document for the state. Most
  purchases are tied to a PO. Two types of purchase
  orders exist within Core-CT
• Online (Manual) Purchase Orders Emergency POs,
  Multiyear POs, P-Card purchases, PSA, POS, ROW,
  RL, MOU, and Grant purchases.
• Begin as a PO
• Intended use - Emergency and exception purchases
• Sourced Purchase Orders Requisitions, Contracts,
  or RFQs
• Begin as a source document (Requisition,
  Contract, or RFQ)
• Sourcing Process - Core-CT creates the resulting
  PO
• Intended use - General procurement needs

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Process Flow
Create an Online (Manual) PO
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Key Points
Create an Online (Manual) PO

• Keep the following in mind when creating an
  Online (Manual) PO
• Information Defaults into your PO based on
• Purchasing Business Unit
• User creating the PO (Buyer)
• Items selected
• Vendor selected
• Four levels of information in an Online PO
• Header Level
• Line Level
• Schedule Level
• Distribution Level
• Parent/child relationship exists among line,
  schedule and distribution information

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Walk-through and Exercise
Create an Online (Manual) PO

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Create an Online PO
• WLA Path
• Purchasing, Adding and Changing Purchase Orders,
  Data Entry Procedures, Create an Online PO
• On your own, complete exercise 2 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
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Overview
Copy an Existing PO

• The copy feature is used to create a new PO from
  an existing PO, requisition, or contract. When
  using the copy feature, consider the following
• Improves efficiency
• Minimizes data entry
• Details of the original document are copied into
  the new PO
• Comments from the original document are copied
  into the new PO
• For best results, select an original document
  that closely matches a current purchasing need
• Copied details are flexible
• Line, schedule, and distribution information can
  be modified or canceled as necessary
• Copied comments can not be deleted, instead they
  must be modified

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Process Flow
Copy an Existing PO
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Key Points
Copy an Existing PO

• When creating an online (manual) PO by copying an
  existing PO, there are several activities
  critical to success
• Copied PO lines, schedules, and distribution
  information should be reviewed for accuracy and
  modified as necessary
• You can delete copied details
• Copied header, line, and schedule level comments
  should be reviewed for accuracy and modified as
  necessary
• You are unable to delete copied comments
• For best results, always select an existing PO
  that closely matches your current purchasing need
• It is not possible to copy multiple POs into a
  single new PO. If you attempt to do so, the most
  recent copied PO replaces the previously copied
  PO

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Walk-through and Exercise
Copy an Existing PO

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Copy an Existing PO
• WLA Path
• Purchasing, Adding and Changing Purchase Orders,
  Process Procedures, Copy an Existing PO
• On your own, complete exercise 4 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
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Agenda
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Overview
Create a Multiyear PO

• Multiyear POs are designed to allow an agency to
  create a PO that tracks an entire obligation
  while only having the budget available to cover
  the obligation for the current fiscal year. When
  creating a multiyear PO, consider the following
• Very similar to the Online PO creation process
• Greater emphasis on schedule and distribution
  details
• Specific Account value for future obligations
• Budget check process completed several times
• Current fiscal year
• Each future fiscal year
• Greater responsibility on the Buyer to monitor
  and maintain the PO

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Process Flow
Create a Multiyear PO
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Key Points
Create a Multiyear PO

• Multiyear POs differ from an online PO in the
  following ways
• Multiple Schedule Lines for each multiyear PO
  line
• Schedule line for the current fiscal year
• Additional schedule lines for each future fiscal
  year
• Multiple Distribution lines for each schedule
  line
• Distribution line for the current fiscal year
• Additional distribution lines for each future
  fiscal year
• Distribution lines associated with a future
  obligation are budget checked in the correct
  fiscal year
• Maintain and update a single PO over the life of
  the multiyear obligation
• The PO Budget Approver monitors and owns the
  multiyear PO
• Each year the multiyear PO must be Rolled Over
  to the next fiscal period

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Walk-through and Exercise
Create a Multiyear PO

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Create a Multiyear PO
• WLA Path
• Purchasing, Adding and Changing Purchase Orders,
  Data Entry Procedures, Create a Multiyear PO
• On your own, complete exercise 6 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
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Overview
Create an Emergency PO

• Within Core-CT, the procurement process can be
  expedited through the reservation of PO numbers.
  The order is placed with the vendor and the PO is
  created (after the fact) using the reserved PO
  number.
• PO numbers can be reserved at any time
• Reserve a single PO or a block of POs for future
  use
• Provide reserved PO number to the vendor at the
  time the order is placed
• Reserving a PO number does not complete the
  process

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Process Flow
Create an Emergency PO
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Key Points
Create an Emergency PO

• When reserving a PO number, there are several
  activities critical to success
• Identify the vendor for the emergency PO
• If you do not know the vendor, select your agency
  as a temporary vendor
• When created, the correct vendor must be added to
  the PO
• Do not submit the PO for approval until the
  correct vendor is selected
• You can reserve a single PO or a block of POs
• Place order with the vendor after you have
  reserved the PO number
• The emergency PO must be created, approved,
  budget checked, and dispatched to the vendor
  prior to receiving the goods/services

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Walk-through and Exercise
Create an Emergency PO

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Create an Emergency PO
• WLA Path
• Purchasing, Adding and Changing Purchase Orders,
  Data Entry Procedures, Reserve a PO Number
• On your own, complete exercise 8 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
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Overview
Edit an Existing PO

• Changes to an existing PO fall into two
  categories Edits and PO Change Orders.
• Edits are those changes to a PO that occur
  between the time a PO is saved and the time in
  which it is dispatched
• When is it an edit?
• PO Status of Open, Pending Approval or
  Approved
• Less Restrictive
• PO Change Orders are those changes to the
  material details of a PO that occur after the PO
  is dispatched to the vendor
• When is it a change order?
• PO Status of Dispatched or Received
• More Restrictive

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Process Flow
Edit an Existing PO
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Key Points
Edit an Existing PO

• When editing an existing PO, consider the
  following
• Most details in the PO can be modified as
  necessary
• Comments can not be deleted
• Only the creator of the PO and those authorized
  to act on the PO (Approvers) should edit the
  details of the PO
• Follow agency guidelines to determine the types
  of changes that should only be made by the
  creator of the PO and the types of changes that
  can be made by those authorized to act on the PO

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Walk-through and Exercise
Edit an Existing PO

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Edit an Existing PO
• WLA Path
• No specific WLA procedure for this exercise
• On your own, complete exercise 10 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
37
Agenda
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Overview
Approve a PO

• Purchase orders requiring approval are
  automatically routed to the correct approvers.
  Consider the following
• What POs require approval?
• Online POs, POs sourced from a RFQ, POs sourced
  from a Contract
• Origin
• Workflow and Worklists
• Amount Approval
• PO Amount Approver 1 (All POs)
• PO Amount Approver 2 (Only POs gt 10,000)
• ChartField Approval
• PO Budget Approver (Final Approver)
• Approval Actions

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Process Flow
Approve a PO
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Key Points
Approve a PO

• When approving a PO, there are several activities
  critical to success
• State of Connecticut preferred method for
  approval Use your personal WorkList to select
  POs for approval
• Approval actions within Core-CT
• Approve
• Recycle
• Deny
• Recycled and Denied POs should always include
  approval comments
• Approving a PO that does not appear on your
  WorkList
• Exception process only, see agency guidelines for
  use
• Must have equal or greater approval authority to
  act on an item that has not been routed to you
  for approval

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Walk-through and Exercise
Approve a PO

• Lets log-in to Core-CT.
• First, we will walk-through the processes (Amount
  ChartField) together
• Scenario Approve a PO
• WLA Path
• Purchasing, Processing Purchase Orders, Data
  Entry Procedures, Approve Purchase Order Amounts
  from Worklist (AND)
• Purchasing Processing Purchase Orders, Data Entry
  Procedures, Approve Purchase Order ChartFields
  from Worklist
• On your own, complete exercise 12 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
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Overview
Budget Check a PO

• Commitment control is a feature that allows the
  State to maintain strict budgetary control over
  purchasing activities. Within Purchasing, our
  responsibility is to budget check POs and
  Requisitions that are created. Consider the
  following
• Commitment Control
• Pre-Encumbrance, Encumbrance, Expenditure
• Budget Check Process
• Validate that the necessary funds are available
• Batch Process
• Runs automatically four times daily (10am, Noon,
  2pm, and overnight)
• Error Correction
• Modify Base PO
• Budgetary Action (Transfer Funds)
• Overrides Errors (PO Budget Approvers have the
  ability to only override Agency Budgets)

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Process Flow
Budget Check a PO
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Key Points
Budget Check a PO

• The Budget Check process is largely automated
• A PO does not qualify for the Budget Check
  process until it is completely approved (PO
  Status Approved)
• All purchase orders are budget checked
  automatically through a batch process
• At least once a day, validate the success of the
  Budget Check process (Run Status Success)
• Any PO can fail the budget check process (Budget
  Status Error). Some examples of budget check
  errors include
• Exceeds budget and is over tolerance
• Budget is closed
• Budget is on hold
• Exceeds budget and is over tolerance for
  referenced row

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Agenda
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Overview
Dispatch a PO

• Within Core-CT, dispatching is the process by
  which the physical purchase order is transmitted
  to the vendor. Consider the following
• Vendor preferences
• Each vendor specifies a preferred method for
  receiving POs
• Each location for a vendor could have a different
  preferred dispatch method
• Dispatch Methods
• Automatic Fax, E-Mail, and Electronic Data
  Exchange (EDX)
• Manual Phone or Print Mail
• Batch Process
• Runs automatically four times daily (10am, Noon,
  2pm, and overnight)

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Process Flow
Dispatch a PO
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Key Points
Dispatch a PO

• Dispatching a PO is a largely automated process
• A PO does not qualify for the Dispatch process
  until it is approved (PO Status Approved)
• A PO does not qualify for the Dispatch process
  until it is successfully budget checked (Budget
  Status Valid)
• If you change the Dispatch method on the PO,
  ensure the vendor is capable of receiving the PO
  in the selected dispatch format
• At least once a day, validate the success of the
  Dispatch process (Run Status Success)

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Agenda
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Agenda
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Overview
Create a PO Change Order

• Within Core-CT, change orders are created when
  modifications are made to the material details of
  a dispatched PO. Consider the following
• Change orders occur after a PO is dispatched to
  the Vendor
• Not all changes to a PO (after dispatch) result
  in a PO change order
• Certain fields trigger a PO change order
• PO change orders are initiated at three levels of
  the PO
• Header Level
• Line Level
• Schedule Level
• Change Order Tracking
• Change Order Numbers
• Change Sequence Numbers

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Change Order Numbers and Change Sequence Numbers
Create a PO Change Order

• A purchase order is dispatched to Corporate
  Express that contains three line items. A change
  to the PO is required, so you make a change to
  the first line item (Revision 1).
• After the change order is dispatched, another
  change to the order is required. You make a
  change affecting line number one of the purchase
  order (Revision 2). 
• After the newest change order is dispatched,
  another change to the order is required. You make
  a change affecting line number two of the
  purchase order (Revision 3).

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Process Flow
Create a PO Change Order
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Key Points
Create a PO Change Order

• When creating a PO change order, there are
  several activities critical to success
• Changes to the material details of a dispatched
  PO result in a PO change order. Material details
  include
• Any change that affects the total dollar value of
  the PO
• Any change that affect the delivery of
  goods/services by the vendor
• Any change that affects the types of items
  included on the PO
• After dispatch, the vendor or vendor location
  cannot be changed on a PO
• Instead the original PO would be canceled and a
  new PO issued to the correct vendor
• Changes to distribution information does not
  result in a PO change order
• If a PO Change Order is created against a PO that
  began as a requisition, the requisition is not
  updated to reflect the PO changes.

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Walk-through and Exercise
Create a PO Change Order

• Lets log-in to Core-CT.
• First, we will walk-through the process together
• Scenario Create a PO Change Order
• WLA Path
• Purchasing, Adding and Changing Purchase Orders,
  Data Entry Procedures, Create a PO Change Order
• On your own, complete exercise 14 in your
  Exercise packet
• Remember to utilize the Web Learning Assistant
• Raise your hand if you need any assistance

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Agenda
58
Overview
Close and Reconcile a PO

• Within Core-CT, closing and reconciling POs is an
  automatic process. While you will not run the
  process, a conceptual understanding is necessary
• Closing and Reconciling a PO in Core-CT
• Close PO Status Complete (no future
  processing is possible) and the PO is archived in
  Core-CT
• Reconcile Releases any unused encumbrance
  associated with the PO
• Batch Process in Core-CT
• Runs weekly behind the scenes
• POs must qualify for the Close and Reconcile
  process
• Dispatched
• Received
• Invoiced
• Matched
• Paid

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Process Flow
Close and Reconcile a PO
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Key Points
Close and Reconcile a PO

• During the Close and Reconcile process, Core-CT
  compares the details of the PO against criteria
  for closing
• Business Level Criteria
• Close Days Requirement
• Cancel Days Requirement
• Close PO Under Percent Quantity Requirement
• Record Level Criteria
• PO Status Requirement
• Activity Date Requirement
• Match Status Requirement
• Distribution Line Status Requirement
• Amount Only Value Requirement
• Receiving Required Evaluation
• Due Date Requirement
• Voucher Status Requirement
• Entry Event Status Requirement

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Knowledge Check
Close and Reconcile a PO

• Which of the following POs qualify for the Close
  and Reconcile process?
• PO 1 was canceled 5 days ago by the Buyer
• PO 2 has been inactive for 20 days
• PO 3 has a PO Status of Dispatched
• PO 4 has a Voucher Status of Posted
• PO 5 has an original PO Quantity of 20. Forty
  days ago, 18 were received. The next day, AP paid
  the invoice for all 18. The PO has been inactive
  since AP paid the vendor. The vendor will not
  send any more of this product to the agency.

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Agenda
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Conclusion

• Wrapping Up the Generate Purchase Orders Course
• Summary of Completed Course Objectives
• Create and Update POs Manually
• Create an Emergency PO
• Approve a PO
• Budget Check a PO
• Dispatch a PO
• Create a PO Change Order
• Close and Reconcile a PO
• Final Questions

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Sandbox Goals/ Action Plan/Adjourn

• After this class, Central/Agency users can
• Use the Sandbox environment as a database that
  has been set up to utilize for practice on
  Core-CT to keep reinforcing what you have learned
  today.
• Use all of the exercises completed here in class
  as job aids in the Sandbox environment when you
  return to your agencies.
• Fill out the Action Plan sheet so the
  participants can plan when they will be utilizing
  the Sandbox and can make the commitment to do so.
• Complete the course evaluation forms.
• Wrap up and Adjourn the class.

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