The Suggested Purchase Order (P/O) program provides you with options to purchase products that are needed. The system determines what displays on the Suggested P/O Queue based on the parameters you provide. You can modify the order before committing the purchase order. You can convert suggested purchase orders for buy lines, secondary buy lines, or super buy lines, as your business requires.
If you are converting purchase orders that contain consignment material, you may be prompted to confirm if it is a consignment purchase order you are creating. For more information, see Creating Consignment Purchase Orders.
Note: When converting a buy line, if the maximum days supply is exceeded by a suggested purchase order and the user is not assigned the POE.PIL.DAYS.OVRDauthorization key, the system prompts for a password.
If a customer who is on credit hold orders a non-stock item, the system displays an error on the Suggested P/O Report by the item alerting the purchasing agent. This alert can help keep your warehouse free of non-stock items ordered that may not get paid for.
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You can convert Suggested P/Os to purchase orders with the Convert Suggested to Actual P/O program. When the purchase order is converted, the system records a comment in the change log to indicate if the conversion was made using the Line or Emergency option, such as "Suggested PO Converted Using the Line Buy."
Also, when suggesting a purchase order that uses a secondary buy line for a product, the system uses the secondary buy line's procurement path and not the one set up for the product's primary buy line. Override hierarchies still apply.
Note: The system uses the lead time for the buy line on the converted order.
The Convert Suggested to Actual P/O window displays the following:
Date and time when the Suggested P/O generated
Normal order cycle used on the Suggested P/O
Vendor target
Days supply being purchased
Before committing a purchase order, you can modify the purchase order in several ways, including adding or subtracting products and changing quantities. The purchase order is converted as of the current costs. If changes are made while the program is running the purchase order does not reflect the update. The Suggest PO Report lists the product detail in real-time cost. The summary on the queue uses the cached values to pull up more than one product detail on the window.
Note: You can also convert a suggested purchase order to the Transfer Surplus Queue.
To convert the Suggested P/O Queue to an actual P/O:
Display the Suggested P/O Queue and position the cursor on the buy line you want to convert.
From the Edit menu, select Convert to Actual POs.
Note: Purchase orders are displayed consecutively by PO number starting with the lowest number.
In the Line or Short field, select one of the following:
Line (Target #1) - To purchase all items in the line buy for the vendor target #1 set in the Buy Line Target Maintenance.
Line (Target #2) - To purchase all items in the line buy for the vendor target #2 set in the Buy Line Target Maintenance.
Short - To purchase only the short buy quantities.
In the Vendor field, enter the vendor to whom the converted purchase order should be directed. If you enter a partial vendor name, a selection list displays with the vendors' names and addresses that are available.
Use the check boxes to do one of the following, if needed:
Combine on Central Purchase Order - Combine suggestions on a single purchase order for this suggestion cycle.
Create Central P/O Transfers - Combine suggestions and create transfers to other branches for material when its received for this suggestion cycle.
Note:If the buy line is not assigned a procurement group with a central purchasing scheme, these options have no impact on the converted P/O.
Note: For single-branch warehouses, the default is branch 1. The system checks for the most recent Suggested P/O created for that combination, and displays the generation date and time, normal order cycle days, vendor target, and the days supply in the appropriate fields on the Suggested P/O.
The following fields display with system information: Normal Cycle, Days Supply, Generated on <date> At <time>, and Target.
If prompted, resolve conflicts between suggested buy lines.
Use the Round Short to Package Qty check box to indicate if you want to round the short buy quantity to the package quantity.
Click OK to create an actual purchase order and display the Purchase Order Entry window, allowing you to further modify or cancel the order. For multi-branch networks, when a product is centrally purchased, but not centrally warehoused, the system generates individual, consecutively numbered purchase orders for each child branch.
Note: If there is more that one price matrix associated with the product, the Vendor Matrix Cell Selection window displays. For more information see Creating Matrix Cells In Quick Buy Matrix.
To convert the Suggested P/O Queue to the Transfer Surplus Queue:
Display the Suggested P/O Queue and position the cursor on the buy line you want to convert.
From the File menu, select Transfer Queue to display the Transfer Surplus Queue.
At the prompt, select Current to convert only the one buy line selected or All Listed to convert all buy lines.
The queue displays with the buy line items populated.
Complete the transaction. For instructions, see Using the Transfer Surplus Queue.
To convert suggested purchases using the Detail Queue:
Display the Suggested P/O Queue and position the cursor on the buy line you want to convert.
From the File menu, select Detail Queue to display the Transfer Surplus Queue.
At the prompt, select Current to convert only the one buy line selected or All Listed to convert all buy lines.
The queue displays with the buy line items populated.
Complete the transaction. For instructions, see Managing Suggestions from the Suggested P/O Detail Queue.
In a single-branch warehouse, the system creates one purchase order for each buy line. In a multi-branch network, one or more purchase orders generate depending upon the warehouse scheme.
In a central purchasing scheme, one branch handles purchasing for the network while each branch handles its own warehousing. You can combine branch needs to meet a vendor target. You can determine how each branch replenishes material. If vendors can deliver to each branch individually, you can convert the single suggested purchase order (P/O) into individual purchase orders. If vendors can deliver to only some branches individually, you can combine the suggested P/O into a single P/O and use Drop Points Maintenance to determine how the deliveries should be made. You can also print the P/O generations individually or combined by drop points. If vendors deliver only to a single branch, you can create central P/O transfers to replenish material for the remaining branches.
In a central warehouse scheme, the selling branches are dependent on one branch to handle all the warehousing. The warehousing branch receives one purchase order for the entire order and handles stock replenishment through transfer orders.
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