Automatic Supplier Payment on File—Key Exercises

IMPORTANT
It is extremely important that you set up and work within your own company and with your own supplier to maintain your data integrity. If you work with any other objects, your exercises will not function as intended and the data of other students might be affected. Predictable exercise results require that your data must be isolated in your own company.

Basic Data Setup


Enter Cash Book Basic Data Information

Purpose: The purpose of this exercise is to show you how to set up the basic data required for running this particular functionality.

Windows:
Payment Institutes

  1. Open the Payment Institutes window and populate.
  2. Select the line for payment institute BG.
  3. Right-click and then click Payment Methods per Institute . The Payment Methods per Institute window appears, along with the available payment methods.
  4. Define the Output File Directory for payment method BGF. For example c:\temp.

Windows:
Cash Accounts

  1. Open the Cash Accounts window and populate.
  2. Define a valid Account Number for cash account BGSEK. For example 2222-3333.

Required Data


Enter and Authorize Supplier Invoices

Purpose: The purpose of this exercise is to show you how to enter supplier invoices to be used in the exercises below. The invoices/installments must also be authorized for payment.

  1. Enter several supplier invoices.

General exercise for Arrival Entry Supplier Invoice 
General exercise for Post Supplier Invoice
General exercise for Authorize Supplier Invoice for Payment


Create and Acknowledge a Payment Proposal

Purpose: The purpose of this exercise is to show you how to select authorized supplier invoices/installments into a payment proposal that will be used in the exercises below.

  1. Create a payment proposal.
  2. Acknowledge this proposal.

 

General exercise for Load Payment Proposal
General exercise for Acknowledge Payment Proposal

Main Exercises


Create Payment Order

Purpose: The purpose of this exercise is to show you how to create an electronic payment order from the acknowledged payment proposal and how to generate payment advice when creating payment order.

Windows:
Supplier Payment Proposals
Payment Formats per Company
Report Archive

In order to generate payment advice when creating payment order:

  1. Open the Payment Formats per Company window, and query for Payment Format ID BGFOR.
  2. Select the BGFOR, right-click and then click Payment Formats. In the Payment Formats window select Generate Payment Advice check box.

In order to create payment order:

  1. Open the Supplier Payment Proposals window, and populate it.
  2. Select the line with the payment proposal from which you want to create the payment order.
  3. Right-click and then click Create Payment Order. The Create Payment Order window appears, along with the payment proposal that you selected and acknowledged. 
  4. Enter BGF as the payment method or select it from the List of Values.
  5. Clear the Use Only Default Payment Method check box.
  6. Enter the financial institution, or payment institute, to which the file will be sent, or select it from the List of Values.
  7. Click OK. The cash accounts for the payment appear in the Cash Accounts windows.                                 
  8. Click OK. The Create Order Results dialog box is displayed, showing the payment order ID and the file name and destination. 
  9. Click OK to close window.
  10. Open the Report Archive window, and search for your payment advice with Report Title Payment Advise. You can see the payment order ID and the output media in the Notes field.


Cancel Included Invoice

Purpose: The Cancel Included Invoice activity is used when all invoices/installments and prepayments for a specific payment order ID are to be canceled. A payment order cannot be deleted before all included items are canceled. 

Windows:
Supplier Payment Orders

  1. Open the Supplier Payment Orders window, and populate it. 
  2. Select your payment order, right-click, and then click Details.
  3. Select one invoice/installment, right-click, and then click Cancel. The status of the invoice/installment changes from Unacknowledged to Cancelled.


Restore Cancelled Invoice

Purpose: This activity changes the cancellation back if payment of an invoice/installment was excluded by mistake. 

Windows:
Supplier Payment Orders

  1. Open the Supplier Payment Orders window, and populate it.
  2. Select your payment order, right-click, and then click Details.
  3. Select the cancelled invoice/installment, right-click, and then click Restore. The status of the invoice/installment changes from Cancelled back to Unacknowledged. The invoice/installment will now be paid.


Acknowledge Payment Orders

Purpose: The purpose of this exercise is to show you how to confirm the payment. This is can be done after the payment institutes have confirmed the payments or immediately after the order is created. 

Windows:
Acknowledge Supplier Payment Orders

  1. Open the Acknowledge Supplier Payment Orders window, and populate it. 
  2. Select the payment that you want to acknowledge. Right-click and then click Enter Acknowledgement of Payment. The Enter Acknowledgement of Payment window appears.
  3. If the payment is made in foreign currency, enter the currency rate that was valid when the payment was made. If the cash account is in yet another currency (other than the accounting currency), enter the valid currency rate that will be used to calculate the amount in the cash currency. 
  4. Also enter the bank fees connected to the payment, if applicable.
  5. Click OK to confirm. The Acknowledgment check box is now selected.


Create Payment

Purpose: The Create Payment activity is used to create payments within the system. This results in paid invoices/installments and a payment voucher in the hold table. 
If payment file trace information was created at order the point of creating the order, then it is updated with the payments series ID and payment ID at point of payment creation.
 

Windows:
Acknowledge Supplier Payment Orders

  1. Open the Acknowledge Supplier Payment Orders window, and populate it.
  2. Select the acknowledged payment that you want to create.
  3. Right-click and then click Create Payment. The payment parameters appear.
  4. Click OK to confirm. A message appears showing information about the payment.
  5. Click OK to confirm. The payment is no longer displayed in the Acknowledge Supplier Payment Orders window.


View Payment Details

Purpose: The purpose of this lesson is to show you how to view the results of the payment. 

Windows:
Supplier Payments Analysis

  1. Open the Supplier Payments Analysis window, and populate it.
  2. Select the payment for which you want to view details, right-click, and then click Supplier Payment Details to view the invoices/installments that were included in the payment.
  3. Select one of the included invoices/installments, right-click, and then click Supplier Details to view all invoices for the current supplier. Verify that included invoices have been paid. You can also reach this window directly from the Navigator.