PeopleSoft FSCM 9.2: Purchasing - Oracle

PeopleSoft FSCM 9.2: Purchasing

March 2013

PeopleSoft FSCM 9.2: Purchasing CDSKU fscm92pbr0 Copyright ? 1992-2013, Oracle and/or its affiliates. All rights reserved.

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Contents

Preface...................................................................................................................................................... xxxi Understanding the PeopleSoft Online Help and PeopleBooks......................................................... xxxi PeopleSoft Hosted Documentation............................................................................................. xxxi Locally Installed Help................................................................................................................. xxxi Downloadable PeopleBook PDF Files........................................................................................xxxi Common Help Documentation....................................................................................................xxxi Field and Control Definitions.................................................................................................... xxxii Typographical Conventions........................................................................................................xxxii ISO Country and Currency Codes............................................................................................xxxiii Region and Industry Identifiers................................................................................................ xxxiii Access to Oracle Support..........................................................................................................xxxiv Documentation Accessibility.....................................................................................................xxxiv Using and Managing the PeopleSoft Online Help.......................................................................... xxxiv PeopleSoft FSCM Related Links.....................................................................................................xxxiv Contact Us.........................................................................................................................................xxxv Follow Us.......................................................................................................................................... xxxv

Chapter 1: Getting Started With PeopleSoft Purchasing......................................................................37 PeopleSoft Purchasing Business Processes.......................................................................................... 37 Common Elements Used in Purchasing............................................................................................... 37 PeopleSoft Purchasing Integrations...................................................................................................... 39 PeopleSoft Purchasing Implementation................................................................................................ 43 Related Product Documentation........................................................................................................... 45

Chapter 2: Using User-Definable Fields..................................................................................................47 Understanding User-Definable Fields...................................................................................................47 Setting Up User-Definable Fields.........................................................................................................51

Chapter 3: Defining PeopleSoft Purchasing Business Units and Processing Options.........................53 Understanding Business Units in PeopleSoft Purchasing.................................................................... 53 Establishing PeopleSoft Purchasing Business Units............................................................................ 54 Pages Used to Establish PeopleSoft Purchasing Business Units................................................... 55 Purchasing Definition - Business Unit Definition Page................................................................ 56 RFQ Required Rule (request for quote required rule) Page.......................................................... 60 Standard Comments Page...............................................................................................................61 Matching Options Page.................................................................................................................. 62 Define Dispatch Options Page....................................................................................................... 62 Copy VAT Defaults From (copy value added tax defaults from) Page......................................... 65 Copy VAT Defaults From (copy value added tax defaults from) Page......................................... 67 Purchasing Definition - Business Unit Options Page.................................................................... 67 Purchasing Definition - Document Numbering Page.................................................................... 77 Establishing Change Options and Approval Rules.............................................................................. 78 Pages Used to Establish Change Options and Approval Rules..................................................... 78 PO Change Options (purchase order change options) Page.......................................................... 78 Req Change Options (requisition change options) Page............................................................... 84 Establishing Purchasing Processing Options........................................................................................87 Pages Used to Establish Purchasing Processing Options.............................................................. 88 Purchasing Options Page................................................................................................................89 Dispatch Method Page................................................................................................................... 94 Freight Option Page....................................................................................................................... 95

Copyright ? 1992-2013, Oracle and/or its affiliates. All rights reserved.

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Contents

POA Settings (purchase order acknowledgements settings) Page.................................................96 Service VAT Treatment Defaults Setup (service value-added tax treatment defaults setup) Page................................................................................................................................................. 97 Service VAT Treatment Defaults Setup (service value-added tax treatment defaults setup) Page................................................................................................................................................. 98 Preparing PeopleSoft Purchasing VAT Environments..........................................................................99 Chapter 4: Defining Purchasing Item Information..............................................................................103 Understanding Purchasing Item Information......................................................................................103 Common Elements Used in Purchasing Item Information.......................................................... 103 Setting Up Item Catalogs............................................................................................................. 105 Working with Market Codes........................................................................................................ 107 Defining Purchasing Item Categories.................................................................................................108 Pages Used to Define Purchasing Item Categories......................................................................109 Understanding Item Categories.................................................................................................... 110 Item Categories - Category Definition Page................................................................................111 Update Catalog Tree Page............................................................................................................113 Item Categories - Category Definition 2 Page.............................................................................113 Supplier Sourcing Priorities Page................................................................................................ 115 Defining Purchasing Item Attributes.................................................................................................. 115 Pages Used to Define Purchasing Item Attributes.......................................................................116 Understanding Order Multiple Rounding Rules.......................................................................... 119 Purchasing Attributes Page.......................................................................................................... 120 Item Specifications Page.............................................................................................................. 124 Purchasing Attributes - Purchasing Controls Page...................................................................... 124 Purchasing Business Unit Attributes Page...................................................................................129 Purchasing Attributes -Item Supplier (ITM_VENDOR)Page......................................................129 Item Supplier Location Substitute Items Page.............................................................................134 Supplier's UOM and Pricing Information (Supplier's unit of measure and pricing information) Page......................................................................................................................... 136 Effective Dated UOM (effective-dated unit of measure) Page....................................................138 Update Purchase Order Page....................................................................................................... 140 Updating Item Supplier Unit-of-Measure Conversion Rates............................................................. 142 Page Used to Update Item Supplier Unit-of-Measure Conversion Rates.................................... 142 Update Item Supplier UOM (update item Supplier unit of measure) Page................................. 142 Capturing Item Miscellaneous Charges..............................................................................................143 Pages Used to Capture Item Miscellaneous Charges...................................................................143 Miscellaneous Charges Selection Page........................................................................................ 143 Setting Up Item Supplier Price Adjustment Rules.............................................................................145 Pages Used to Set Up Item Supplier Price Adjustment Rules.....................................................145 Understanding Item Supplier Price Adjustments.........................................................................146 Price Adjustment Page................................................................................................................. 146 Price Adjustment Details Page.....................................................................................................148 Updating Standard Prices and Business Unit Standard Prices........................................................... 148 Pages Used to Update Standard Prices and Business Unit Standard Prices................................ 149 Understanding Price Updates....................................................................................................... 149 Understanding the Price Update Process..................................................................................... 150 Using Standard Price and Business Unit Standard Price Updating Online................................. 151 Using Standard Price and Business Unit Price Batch Updating..................................................152 Update PO Price Page..................................................................................................................153 Selecting Suppliers Based on Item Ship To and Item Supplier Locations......................................... 154 Pages Used to Select Suppliers Based on Item Ship To and Item Supplier Locations.................154

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Copyright ? 1992-2013, Oracle and/or its affiliates. All rights reserved.

Contents

Item Ship To Locations Page.......................................................................................................154 Creating Purchasing Kits.................................................................................................................... 156

Page Used to Create Purchasing Kits.......................................................................................... 156 Understanding Purchasing Kits.................................................................................................... 156 Working With Substitute Items in Procurement.................................................................................156 Understanding Item Substitutions in Procurement...................................................................... 157 Setting Up Substitute Items in Procurement................................................................................162 Chapter 5: Defining Miscellaneous Charges and Landed Costs.........................................................167 Understanding Miscellaneous Charges...............................................................................................167 Defining Miscellaneous Charge Defaults........................................................................................... 168 Chapter 6: Using Workflow.................................................................................................................... 171 Understanding PeopleSoft Purchasing Workflow.............................................................................. 171 Setting Up the Approval Framework for PeopleSoft Purchasing...................................................... 171 Pages Used to Set Up Approval Framework in PeopleSoft Purchasing...................................... 172 Understanding the Approval Framework Setup Steps.................................................................174 Setting Up the Approval Framework for PeopleSoft Purchasing................................................ 176 Setting Up Email Approvals for PeopleSoft Purchasing............................................................. 181 Setting Up PeopleTools Workflow Technology for PeopleSoft Purchasing.......................................183 Understanding PeopleTools Workflow Technology Setup for PeopleSoft Purchasing................ 183 Setting Up Approvals in PeopleTools Workflow Technology..................................................... 184 Setting Up EDX Exception Workflow.........................................................................................188 Setting Up Notification in PeopleTools Workflow Technology.................................................. 189 Issuing Requisition Sourcing Workflow Notifications.......................................................................190 Page Used To Issue Requisition Sourcing Workflow Notifications............................................ 190 Issuing Purchase Order Cancellation Workflow Notifications...........................................................190 Page Used to Issue Purchase Order Cancellation Workflow Notifications..................................191 Issuing Contract Expiration and Exceeding Maximum Workflow Notifications............................... 191 Page Used to Issue Contract Expiration and Exceed Maximum Workflow Notifications........... 191 Using Purchase Order Acknowledgement Alert Workflow Notifications..........................................191 Pages Used to Use Purchase Order Acknowledgement Alert Workflow Notifications............... 192 Using Item Loader Exception Workflow Notifications......................................................................193 Pages Used to Use Item Loader Exception Workflow Notifications...........................................194 Exception Summary Page............................................................................................................ 195 Using Rebate Manager Workflow Notification..................................................................................195 Pages Use to Use Rebate Manager Workflow Notifications....................................................... 196 Prerequisites.................................................................................................................................. 196 Using Receipt Quantity Change Workflow Notifications.................................................................. 197 Pages Use to Use Receipt Quantity Change Workflow Notifications......................................... 197 Prerequisites.................................................................................................................................. 197 Using Settlement Manager Workflow Notifications.......................................................................... 198 Pages Use to Use Settlement Manager Workflow Notifications................................................. 198 Prerequisites.................................................................................................................................. 199 Chapter 7: Using Default Hierarchies................................................................................................... 201 Understanding the PeopleSoft Purchasing Default Hierarchy............................................................201 Purchasing Transaction Default Hierarchy.................................................................................. 201 Requisition Default Hierarchy......................................................................................................204 Purchase Order Default Hierarchy............................................................................................... 205 Purchasing Item Default Hierarchy..............................................................................................206 Purchasing ChartField Default Hierarchy.................................................................................... 210 Understanding the UOM Conversion Hierarchy................................................................................ 210 UOM Defaulting...........................................................................................................................211

Copyright ? 1992-2013, Oracle and/or its affiliates. All rights reserved.

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Contents

UOM Conversion Rate Defaults.................................................................................................. 213 Understanding the Matching Default Hierarchy................................................................................ 214 Understanding the Supplier Location Hierarchy and Multicurrency Pricing..................................... 216

High-Level Controls Implementation: Item Ship To Supplier Location and Item Region Supplier Location Overview........................................................................................................ 218 Item Ship To Supplier Location Setup........................................................................................ 218 Item Region Supplier Location Setup..........................................................................................219 Mid-Level Control Implementation: Ship To Supplier Location and Region Supplier Location Supplier Order Location Overview...............................................................................220 Ship To Supplier Location Supplier Order Location Setup.........................................................220 Region Supplier Location Supplier Order Location Setup.......................................................... 221 Low-Level Control Implementation: Defining Item-Supplier Relationships Overview.............. 222 Zero-Level Control Implementation Overview............................................................................222 Understanding Multicurrency Conversions........................................................................................ 223 Understanding VAT Drivers, VAT Driver Keys, and the Defaulting Hierarchy for VAT Defaults..... 226 Chapter 8: Using Commitment Control................................................................................................229 Understanding Commitment Control in PeopleSoft Purchasing........................................................ 229 Delivered Source Transaction Types for Purchasing................................................................... 230 Commitment Control Budget Processor Process in PeopleSoft Purchasing................................ 232 Open Period.................................................................................................................................. 233 Liquidation Method...................................................................................................................... 233 Document Tolerances................................................................................................................... 234 Budget Pre-Check.........................................................................................................................234 Budget Exceptions........................................................................................................................235 Budget Overrides..........................................................................................................................236 Effects of Changes to Budget-Checked Transactions.................................................................. 237 Commitment Control and PeopleSoft Purchasing Close Processes.............................................238 Budget Checking Receipt Accruals............................................................................................. 239 Common Elements Used in Commitment Control and PeopleSoft Purchasing Close Processes....... 239 Using Partial and Final Liquidation................................................................................................... 241 Reversing Partial or Final Liquidation.........................................................................................243 Budget Checking After Partial or Final Liquidation................................................................... 244 Running Entry Events After Partial or Final Liquidation............................................................244 Budget Checking Requisitions............................................................................................................244 Pages Used to Budget Check Requisitions..................................................................................245 Req Budget Check (requisition budget check) Page................................................................... 245 Budget Checking Requisitions Using Online Pages....................................................................246 Budget Checking Purchase Orders..................................................................................................... 246 Pages Used to Budget Check Purchase Orders........................................................................... 246 Budget Check Request Page........................................................................................................ 247 Budget Checking Purchase Orders Using Online Pages............................................................. 248 Budget Checking Procurement Cards.................................................................................................248 Pages Used to Budget Check Procurement Cards....................................................................... 249 Load Statement Page....................................................................................................................250 Reconcile Statement - Procurement Card Transactions Page...................................................... 251 Running Budget Period-End Processes.............................................................................................. 251 Pages Used to Run Budget Period-End Processes.......................................................................251 Understanding Budget Period-End Processing............................................................................ 252 Rolling Over Purchase Orders at Budget Period-End........................................................................253 Pages Used to Rollover Purchase Orders.................................................................................... 253 Understanding the Purchase Order Rollover Process.................................................................. 254

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