Create Direct Purchase Order

This page allows you to create a Direct Purchase Order. Tell me more

Select the “Create Direct Purchase Order” link under the “Purchase Order” business component.

The “Create Direct Purchase Order” page appears.

The system displays the following:

Workflow Status

The status of the document as per Workflow Applicability. The Workflow status will be visible only if "Workflow Applicability" for the transaction is set to Yes in Company Parameter Setup component.

The system displays the status of the Purchase Order in top of the screen.

Enter the following fields in the “PO Details” group box to create a Direct Purchase Order.

PO No.

Unique identification number of the Purchase Order with which it is referred. (Alphanumeric, 18). Mandatory.

The System displays the following:

Amendment No.

Unique identification number of the Amendment document. The Amendment document is created whenever any modifications are done to the approved document.

Enter the following:

Numbering Series	Use the drop down list box to select the numbering type for generating the Purchase Order number. Mandatory. If the Numbering series is manual, then the Purchase Order number should be “Mandatory”. If set as any other predefined series, the system would generate the unique Purchase Order number.
PO Date	The Date of creation of the Purchase Order. (Date Format). Mandatory
PO Type	Use the drop-down list box to select the type of the Purchase Order. There are different types of Purchase Orders namely General, Capital, Dropship, and Consignment.
Folder	Use the drop-down list box to select the folder name. The Folder name pertained to the Purchase Order can be selected from the drop-down list.
Supplier Code	Code or Identifier of the supplier who supplies goods for the Purchase Order. (Alphanumeric, 16).
	Help facility available.

The System displays the following:

Name

Name of the Supplier associated with the supplier code is displayed.

Enter the following:

Contact Person	The Name of the person who can be contacted in case of any clarification regarding the procurement of Items in the PO on behalf of the Supplier. (Alphanumeric, 45)
Buyer	Use the drop-down list box to select the Buyer. Unique identification Code or name of the buyers are listed in the drop down-list, and a particular number/name can be selected from that list... Capturing the Buyer depends on the System Parameter value (‘Buyer Control Mandatory’ set as ‘YES’ or ‘NO’), if a Buyer is specified in a PO, then the items ordered are checked for the validity of the Buyer.
LOI	Letter of Intent (LOI). If the LOI filed is checked the Purchase Order is considered just as a Letter of Intent. (Alphanumeric, 2). This letter of intent is sent to the supplier, which would help the supplier to know about the buyer’s requirement.
Hold	The User can check this box if he wants his Purchase Order to be put on hold and if it is not immediately sent for Approval. (Alphanumeric, 12). .
Remarks	In this field the User can enter his comments or any information regarding the Purchase Order . (Alphanumeric, 255).
Approval Date	The Date on which the Purchase Order was approved. (Date, 18).
Imports	The user can check this box to fetch the Imports PO.

The system displays the following details in the “Amount Details” group box:

PO Value	The Value of the item is given for which the Purchase Order is created. (Numeric).
Additional Charges	Additional taxes, charges, discounts incurred for the items during the transit of goods and based upon the terms and conditions with the supplier. (Numeric).
Total Value	The Total Value comprise of the Purchase Order value and the Additional charges. (Numeric).

Enter the following:

Currency	The Currency specified for the Purchase Order. (Alphanumeric, 5).
Exchange Rate	The Exchange Rate in which the PO Value is calculated w.r.t. to the Base Currency of the Company , if the currency specified for the PO is different from the base currency (Numeric, 15). If the PO is in base currency, then the exchange rate is 1(One).

The System displays the following fields:

Base Currency Value

The PO Value calculated in base currency.

Enter the following fields in the “Default Entries” group box to enter default entries that are related to the line item information.

Receipt At	Use the drop-down list box to select the receiving OU of the Line Item. .
Need Date	The Date on which the Item is needed. . (Date Format). Mandatory.
Warehouse Code	Code/Identifier of a warehouse where the Items will be received. (Alphanumeric, 10). This would help the supplier to know the place where the items are to be delivered.
	Help Facility Available
Accounting Unit	Use the drop-down list box to select the Financial Book also called as Accounting Unit. The financial books are mapped to the company and the user specifies a particular Financial Book for all the purchase payment related details.
CC Usage	Use the drop-down list box to select the user-defined name, which actually points to a Cost Center. The Cost Center for which the items in the Purchase Order has been ordered. In case of Service Item, Adhoc Item CC Usage needs to be specified.
AC Usage	Use the drop-down list box to specify the AC Usage which is used to get an account code from ARD component (Account Rule Definition) Specifying a AC Usage is mandatory in case the line item is a Non-Stockable item.
Analysis Code	Code/Identifier that is mapped to the Account Code that is used for analysis purposes. . (Alphanumeric, 5).
	Help facility available.
Sub Analysis Code	Code/Identifier that is mapped to the Analysis-Code that is used for analysis purpose. . (Alphanumeric, 5).
Budget ID	Unique identifier for a particular Budget associated with the purchase of the Line-Item . (Alphanumeric, 6).
	Help facility available.
Proposal No.	Unique identifier created for the capital items stating the cost assigned for it. When a purchase is made, the proposal id is specified thereby helping the purchase division to know the assigned amount for the capital item for that proposal ID. (Alphanumeric, 18).
	Help facility available.
Customer Code	Code/Identifier of the Customer for whom the Line Items specified in the Purchase Order are ordered. (Alphanumeric, 18).
	Help facility available.
Drop Ship ID	Unique identification number of the Drop ship details where the items are directly delivered to the customer’s place. (Alphanumeric, 16).
	Help facility available.

Click the “Default” push button to transfer all the values given in the default entries information tab to the line details information tab. The Field values from the default entry tabs are transferred to the respective fields names in the line detail’s tab.
Enter the following fields in the “Line Details” group box, where item related information is present. Each Line refers to a particular item and its related information. The Information pertaining to particular line item is listed in this section.

Item Code	Unique code/identifier of the item for which the purchase order is created. (Alphanumeric, 32).
	Help facility available.
Variant	Variant code is associated with the Item code present in the activity. (Alphanumeric, 4). An item may or may not have a Variant.
Description	Description stating the name of the Item Code or the Item Code & Variant. In case of Adhoc Item only Description is specified without Item Code & Variant.
Quantity	The Quantity ordered for the Line Item is entered in this field.
UOM	The Unit of measure in which the purchase is made for the Ordered Items from the supplier.
	Help facility available.
Cost	The Actual cost of the item for making a purchase.
Per	The number of units of the Items for which the cost is specified.
Receipt At	Use the drop-down list box to select the receiving OU where the goods are to be received. This field can be defaulted in the multilane form the “default entries” section. .
Schedule Type	Use the drop-down list box to select the Schedule Type. It can be “Single” or “Staggered”. If Single schedule type is selected, it would instruct the supplier to deliver the items all at a time. If it is Staggered schedule type, the line item quantity is divided in to part deliveries.
Need Date	The Date in which the buyer needs the items The Need date is filled with a date only when the Schedule type is “Single”. If the Schedule type is “Staggered”, then the need date would be filled in the Schedule Type page where multiple delivery dates are assigned for a particular item. This field will be filled automatically if the “default entries” task is executed. .
Warehouse Code	Unique code/identifier of the Warehouse where the items are stored before consumption. This field will be filled automatically if the “default entries” task is executed. .
	Help facility available.
Accounting Unit	Use the drop-down list box to select the Financial Book also known as Accounting Unit.. This field will be filled automatically if the “default entries” push button is executed. .

The System displays the following:

Basic Value	The Basic value of the purchased product based on the Quantity, cost and Per ratio.
	Basic Value = (Quantity * Cost/Per)
Total Value	The actual amount to be paid to the supplier for the items.
Drawing Revision No.	Unique identification number is provided to the revisions or modifications done to the drawing depicting the appearance of the line item.

Enter the following:

Adhoc Item Class	Use the drop-down list box to select the Adhoc Item Class from the list. The value are defined in the Type SetUp component and defaulted.
Ref Doc No.	Unique identification number of a reference document is mentioned in this field. The Reference documents can be any external document line Production Work Order, Maintenance Work Order etc.
Ref Doc Line No.	Unique identification line number present in that reference document is mentioned.
Comments	The User can key in his comments through which he can convey certain information that are related to him or to the purchase. Additional information can be provided in this field.
AC Usage	Use the drop-down list box to specify the AC Usage which is used to get an account code from ARD component (Account Rule Definition) Specifying an AC Usage is mandatory in case the line item is a Non-Stockable item.
	Help facility available.
CC Usage	Use the drop-down list box to select the user-defined name, which actually points to a Cost Center. The Cost Center for which the items in the Purchase Order has been ordered. In case of Service Item, Adhoc Item CC Usage needs to be specified.
	Help facility available.

The system displays the following:

Drawing No

The number identifying the document containing the drawing reference.

Enter the following in the “Line Details” multiline:

Project Code

A unique code identifying the project for creating the direct purchase order.

Help facility available.

The system displays the following:

Project Description

The detailed description of the project.

Enter the following in the “Line Details” multiline:

Project OU

Use the drop-down list box to select the project OU (Organization Unit) for the direct purchase order. The combo is loaded with all organization units in which the project definition component is defined. The system displays “RSOU1” by default on launch of the page.

Click the “Create PO” pushbutton to create the purchase order.

The system refreshes the page and displays the newly created Purchase Order and its corresponding details.

The Status of the Purchase Order is either “Fresh” or “Draft”. If all the mandatory fields are filled in properly, then the status is “Fresh”. If some of the fields are left blank during the creation, then the status is populated as “Draft”.

Click the “Create and Approve PO” pushbutton to create and approve the purchase order.
Select from the following:

Print Language

Use the drop-down list box to select the language in which the order document is to be printed.

Click the “Print Order Doc.” pushbutton to print the purchase order document.

To proceed, carry out the following

Select the ” View Item Purchase Information" link at the bottom of the page to view the item related details.
Select the “ View Warehouse Information “ link at the bottom of the page to view warehouse related details.
Select the “Specify Schedule and Distribution” link at the bottom of the page to state the information regarding the Schedules and about the distribution process.
Select the “Specify Terms and Conditions” link at the bottom of the page to specify the information regarding the terms and conditions related to the items.
Select the “Specify Tax/Charge/Discount” link at the bottom of the page to specify the information regarding Taxes, Charges, and Discounts.
Select the “Specify Quality Details” link at the bottom of the page to specify the quality pertained details of the items.
Select the “Specify Budget Details” link at the bottom of the page to specify the budget oriented details.
Select the “Specify Dropship Address” link at the bottom of the page to state the buyer’s address to which the goods are directly supplied when the Purchase Order type is Dropship.
Select the “Specify PO-PR Coverage” link at the bottom of the page to state the coverage details of the Purchase order and the Purchase Request..
Select the “Specify PO-SO Coverage” link at the bottom of the page to state the coverage details of the Purchase order and the Sale Order.
Select the “Tax Calculation - Summary” link at the bottom of the page to specify the tax details of the Purchase order.
Select the “Attach Notes” link at the bottom of the page to attach a small note stating some additional information for particular line information or the business document.
Select the “Edit PO” link at the bottom of the page to modify or change information pertained to an already created Purchase Order.
Select the "Approve PO" link at the bottom of the page to approve the Purchase order.
Select the "Specify Checklist" link to record the check list required for the purchase order.
Select the “View Supplier link at the bottom of the page to get the details of the supplier for whom the Purchase Order is created.
Select the “View Buyer Details” link at the bottom of the page to get the details of the Buyer who creates the Purchase Order.
Select the “View Purchase Budget” link at the bottom of the page to show the amount assigned for the purchase of the Item groups. The items are grouped with a unique code and the amount spent for the purchase of certain item groups are listed in that page.
Select the “View Acquisition Proposal" link at the bottom of the page where the capitalizable items are assigned a unique id
Select the "View PO" link at the bottom of the page to view the purchase order details.
Select the “Disposition Review” link at the bottom of the page to view where planning for certain items are carried out.
Select the “EAD Information” link at the bottom of the page to view the earliest date in which the goods can be available.
Select the “ Free Stock Information” link at the bottom of the page where items are not related to any demand and are free to be delivered to the buyers. The Free Stock quantity is kept apart for any urgent requirement of the items. The information regarding the items is supplied and the Free Stock quantity available for those items can be found.
Select the “Stock Information for Stocking Point” link at the bottom of the page where the stock status review is made for the different Organizational Units present under an Organization Structure.
Select the ”Warehouse Stock Information” link at the bottom of the page where a review is made regarding the stock present in various warehouses.
Select the “Specify Retention Details” link at the bottom of the page to specify the retention details of the order.

Note: The “Specify Retention Details” link is accessed only when “Retention amount calculation to be Order Specific” parameter is set as “Yes” in Common Parameters activity of Company Parameter Setup component.

Create Direct Purchase Order – An Overview

In this page, you can create a Purchase Order without referring to any document. Purchase Orders are classified under four types namely, General, Capital, Dropship, and Consignment. Each of them is created for a specific purpose. The details specified in the Purchase Order consist of the Supplier, about the items ordered, Payment Terms and about the receiving procedure. In a ‘General’ type of Purchase order all type of items (Service, Adhoc etc.) are specified except Capital Items. Capital Purchase Orders are created for Capital items, also other items types such as Service, Tools, Spares etc. can be specified along with the capital item. A Capital Purchase Order can be created even without a Capital type Item. Dropship Purchase Order can be released on a Supplier to supply the items directly at the customer’s place, which does not happen with the other kinds of Purchase Orders. In the case of Consignment Purchase Order, a marketing arrangement is made where only the physical control of the items is transferred from the supplier to the buyer. The liability of payment of the items does not occur until the buyer consumes the goods.