Centralized Purchasing—Exercises

Basic Data Setup

Site

Purpose: The purpose of this exercise is to enter at least two different sites: one purchase site and one (or more) demand sites.

Windows:
Site

1. Enter one purchase site.
2. Enter one or several demand sites on the same company.

General exercise for Site

Purchase Part

Purpose: The purpose of this exercise is to enter a purchase part on each site, in this case a non-inventory purchase part, but an inventory-stored purchase part also will work if you already have one registered.

Windows:
Purchase Part

1. Enter a purchase part on each of your sites.

General exercise for Purchase Part

Supplier

Purpose: The purpose of this exercise is to enter the supplier of the parts. If you already have a supplier registered, you can use that one.

Windows:
Supplier

1. Enter a supplier.

General exercise for Supplier

Supplier for Purchase Part

Purpose: The purpose of this exercise is to connect your purchase parts to the supplier.

Windows:
Supplier for Purchase Part

1. Connect the supplier and the purchase parts you have created.

General exercise for Supplier for Purchase Part

Required Data

Entering a Price List for Purchase Part

Purpose: The purpose of this exercise it to show you the required data used in the exercise below. When you have entered the required data, you should have a price list for a purchase part with different price intervals.

Windows:
Supplier for Purchase Part

1. Query for the parts you created earlier.
2. Click the Price List tab and enter some lines with different prices for different quantities.

General exercise for Maintaining Price Lists.

Main Exercise

Purpose: The purpose of this exercise is to learn how to centralize demands from different sites into one central purchase order. This is done by converting requisitions into a purchase order or by manually entering new purchase order lines. The goal is to consolidate demands or, in other words, to create less orders and achieve better prices or conditions.

Windows:
Purchase Requisition
Purchase Requisition Lines
Purchase Order

Convert Purchase Requisition into Purchase Order

1. In the Purchase Requisition window create a new purchase requisition header on your demand site.
2. Enter a line for your purchase part.
3. Release the requisition.
4. Repeat step 1--3 until you have several requisition lines.
5. Open the Requisition Lines window.
6. Select several lines. (All of the lines should have be in a released status.)
7. Right-click and then click Requisition to Order. The Requisition to Order Parameters dialog box opens.
8. In the dialog box, select the Central Order check box. The Site field will be enabled.
9. In the Site list, select your purchasing site. In the lower pane of the dialog box, a new selection of qualified purchase orders will be presented.
10. Create a new order by allowing the system to select an order or by manually selecting one of the orders displayed in the dialog box.
11. Finish the conversion by clicking OK.
12. Analyze the result in the Purchase Order window. The requisition lines from your demand site should be placed in an order on the purchase site. That order should have the Central Order check box selected. The purchase order line in the Site field should show the demand site (which is different than the order header's site). You have now created a central order.

Enter Manually Lines into a Central Purchase Order

1. In the Purchase Order window, create a new purchase order header on your purchase site.
2. Enter a new line.
3. Before saving, go to the Site field and enter a different demand site using the List of Values.
4. Observe that the Central Order check box is now selected.

Note: If the two sites involved are not within the same financial company, the pre-posting information entered in the header is not passed to the line.

Note: The price information on the line is based on the price lists and supplier agreements on the purchase site, not the demand site. You also can use the consolidated price calculation to achieve better prices.

Note: If the demand site and the purchase site do not belong to the same financial company, at invoice posting, when matching it towards the arrivals, a multi-company supplier invoice will be created.