 PURCHASING OPTIONS

 FINANCIAL OPTIONS
 RECEIVING OPTIONS
 BUYER CREATION
 EMPLOYEE CREATION
 POSITION HIERARCHY CREATION
 APPROVAL GROUPS & ASSIGNMENTS
 SUPPLIER CREATION
 SOURCING RULE
 APPROVED SUPPLIER LIST
 DOCUMENT TYPES
 PurchasingSetupOrganization
 Select the OU
Document control region:
 Price tolerance %
 Price tolerance amount
 Receipt close point
 Enforce full lot qty
 Cancel requisition
 Enforce buyer name
 Notify if blanket PO exist
 Enforce supplier hold
 Enforce price tolerance %
 Enforce price tolerance amount
Document defaults region:
 Requisition import group by
 Internal requisition order type & source
 Receipt close tolerance %
 Invoice close tolerance %
 Line type & Rate type
 Match approval level – 2 way, 3 way, 4 way
 Price break type- cumulative, non cumulative
 Price type- none, variable, fixed
 Minimum release amount in USD
 Receipt accounting region:
 Expense AP accrual account
 Accrue expense item – at receipt, period end
 Accrue inventory item – at receipt

Document numbering region:

 RFQ number
 Quotation number
 PO number
 Requisition number

**Next number, type, automatic or manual entry

 PurchasingSetupOrganization
 Select the OU
 Accounting tab : future periods
 GL Accounts tab:
Liability
Prepayment
Bills payable
Discount taken
PO rate variance gain & loss
Expense clearing
Miscellaneous
Retainage
 Supplier-purchasing tab:
Ship-to location
Bill-to location
IVO, FOB
 Encumbrance tab:
Use requisition encumbrance
Reserve at completion
Use PO encumbrance
 Tax tab:
Vat registration - number and member state
 Human resource tab:
Select BG
Use Approval hierarchy
Expense reimbursement address – home, office
Employee number- method, next num
 Purchasing SetupOrganization
 Select Inventory org
 Enforce ship-to – none reject , warning
 ASN control – none reject , warning
 Receipt days early
 Receipt days late
 Receipt days exceed action – none reject , warning
 Over receipt tolerance %
 Over receipt action – none reject , warning
 RMA receipt routing- none, direct, standard,
inspection
 Receipt routing - none, direct, standard, inspection
 Allow substitute receipt
 Allow unordered receipt
 Allow express receipt
 Allow cascade receipt
 Allow blind receipt
 Receipt num generation, type, next num

Accounting :
 Receiving inventory account
 Clearing account
 HRMSHRMS ManagerPeopleEnter and
maintain
 Click New button
 First name, last name, gender,
 Person type as Employee, SOCIAL SECURITY
NUMBER
 Birth date, age, status all the mandatory
details you have to given in the Personal
tab
 Job and Position will be attached in
Assignment button
 Address will be attached in Address button
 PurchasingSetupPersonalBuyer
 Click Add Buyer button
 Enter Buyer name, Category, Ship-to,
Begin date
 Click save button

NOTE: Buyer only can create PO, if not

done this setup you could not enter the
PO form.
 PurchasingSetupApproval
Approval group
 Select OU
 Enter unique name for approval group
 Approval Rules:
Document total
mandatory
Account Range
Item category
Item optional
Locations
save
 PurchasingSetupApproval Approval
Assignments
 Select OU
 Position
 Job
 Select Document types for approve
Standard PO
Planned PO
Blanket PO
Contract PO
Purchase requisitions
Internal Requisitions
Scheduled releases
Blanket releases
 Select Approval group name
 save
Define Job Define Position Define Employee

Create Position Define Approval Define Approval

Hierarchy Assignments Group

Mention the Make sure Use

Position Hierarchy position Run “Fill
name in hierarchy check employee
Document Types box is enable in hierarchy”
Financial options
 HRMSWork structurePosition
Hierarchy Branch Head
 Enter a unique hierarchy name (Top level)
 Query the highest position name
 Enter the positions as per the approval
group in subordinates Dept. Head
(Middle level)

Purchaser
(Low level)
 PurchasingSupplyBaseSupplier
 Create Supplier (IE Page)
 Enter Org name
 Supplier type
 Country
 Save
 TAX Details
Enter all the mandatory details and save
Next goto Address Book for Supplier Site Creation
› Click Create button
› Enter the Address details and mandatory fields and ADDRESS
PURPOSE
› Then select the supplier site name and click apply button
› Next payment details, select payment method and save the details.
 Invoice management
› Invoice currency
› Invoice amount limit
› Invoice match option
 save
 PurchasingSupply BaseSourcing Rule
 Enter unique sourcing rule name
 Select for All Orgs
 Effective date
 Shipping org Type – Transfer from, Make
at, Buy from
 Select ORG, Supplier, Supplier site
Allocation %, Rank, Shipping method, in-
transit time
save
 Enter unique name and description.
 Assigned to – item, item category, item
org, category org, global
 If you select item, then mention the item
name
 Type as sourcing rule
 Select sourcing rule name.
 Select Type – Item, Commodity
 If you select Item then give the item_name
(Use approved supplier check box is enable in
master item form)
 Suppliers: Key attributes:
Business – Direct,
Distributor,
Manufacturer
Supplier and supplier site
Status – Approved, Debarred, New, Review
 Click Attribute button
 Select the Release method as Automatic Release
 Select the source Doc name (Blanket/Contract)
 Save
 Profile option: MRP: Default Sourcing Assignment Set
 Standard PO
 Planned PO
 Blanket Purchase Agreement
 Contract Purchase Agreement
 Internal requisition
 Purchase requisition
 RFQ&Quotation – Standard, Bit, Catalogue
 Receipt – substitute, unordered, express,
cascade, blind
 Scheduled release
 Blanket release

Note: We can create new document types also

 Approval and Control:
Owner can approve
Approver can modify
Can change forward to
Workflow start process
Approval workflow – PO Approval
Forward method – Direct, Hierarchy
Security level - Public
Access level - Full