Purchase Order Processing



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Purchase Order Processing The Purchase Order Processing system is concerned with the production and management of orders placed with suppliers of materials, plant, etc and the subsequent matching with goods received notes (GRN s) and eventually the supplier s invoice. The module is enabled to use the RedSky IT Xchange hub for sending orders electronically as well as by post. This facility is incorporated into the software as standard and means you do not have to go off line to process electronic orders. Purchase Orders may be sent to addresses other than that held on the Purchase Ledger record. Contract addresses may be used to provide detailed delivery information. The enquiry shows the status of each order with value outstanding, received, not invoiced and invoiced. All order lines can be viewed showing the order value/quantity and received quantity. The enquiry can be accessed by a number of criteria including Order, Contract, Supplier, Buyer and Date. Integrates with Summit Estimating, Purchase Ledger, Sub Contractors Ledger, Contract Ledger, Stock Control, Nominal Ledger and Spreadsheets. Features Include: Bulk orders/call off orders Orders may be placed for either stock, contracts or for overhead items Multi levels of discount by value or quantity Optional GRN registration Matching facilities for invoices received either against individual GRN s or against total delivered or just against total ordered Option for sub-contractor ordering Committed costs are updated to job record giving cumulative committed costs Total for goods delivered not invoiced Invoice posting reduces reserves and generates actual cost. Invoice posting compares against original order value Analysis against cost heads, plot or operations Multi line free format text entry Text library Auto generation of orders from estimating Ability to place orders electronically using our Xchange hub

Plant Management The Plant Management module allows companies who handle internal and/or hired in plant to monitor this process. Plant costs can be accurately and frequently determined allowing information to viewed or reported on. The module allows for ordering, tracking and costing of plant, and can be used either within the office or site based using remote or web based access. The main objectives of the module are: 1. To aid the costing of company owned plant (internal) to jobs and then track what plant is currently booked to each job. 2. To analyse the profitability of the plant i.e. recovery v cost, this will aid management decisions on keeping or disposing of plant items. 3. The tracking and allocation of plant that is hired into the organisation; either specifically for a job or to multi jobs; in any one hire. Accruals are produced for costing purposes and also to aid the matching of invoices received. On matching, the actual values are recorded on the job and the accrual reversed. Order Processing: There are three possible 'sources' of plant - purchase ledger suppliers, subcontractors (who provide labour with plant) and the company itself. Orders for plant from external suppliers are referred to as external hire orders. Internal orders can be entered to allocate own plant. Cost and Recovery: The following accounting updates are made: Debit commitments to jobs on placing orders. Debit accruals (provisions) to jobs as they use hired plant and actual costs as they use internal plant. Accrual and actual costs update is run to a specified date. Debit actual costs to jobs as invoices are received for hired plant. Credit accruals (provisions) to jobs as invoices are received for hired plant. Credit actual revenue to internal plant 'jobs'. Plant Tracking: To effectively cost plant to jobs, and to help minimise these costs, it is necessary to maintain an accurate inventory of plant at each site. Both hired and internal plant can be transferred between jobs. Where an item can be individually identified these items are serially tracked. The module also provides the facility to track multiple items of the same type, which cannot be individually identified, such as small tools; these are referred to as non-serially tracked items.

Plant Management Plant tracking controls the processing of both external and internal plant on hire notes, off hire notes, transfers to other contracts, timesheet entry for hourly plant and also the locating of plant items by category, serial number, contract or location Features include: Complete integration with purchase order processing, contract ledger and fixed assets. Plant items file holds category, weekly, daily, hourly rates for external hired in items. Fixed assets file stores internal items with category, weekly, daily, hourly rates for internally charged items. Revenue can be linked to a contract in contract ledger. Orders can be raised against PL suppliers, subcontract ledger suppliers and internal plant locations. User definable depot locations. User definable calendars. Serial and non-serial tracking Operated and non-operated plant orders CIS handling through subcontract ledger. Charges and consumables handling User definable Crystal reports plant order layout. Inter-company hire. Plant tracking screen controls all processing. On/Off hire note processing Transfers between contracts Suspension of charging period Timesheet input for hourly plant Cost and recovery on internal plant integrated to contract ledger. Plant utilisation and profitability reporting. Accruals for externally hired in plant, either on charge or up to timesheet hours. Invoice matching to GRN for externally hired item.

Stock Control The stock recording system allows issues direct to contract, through the invoicing module or manual issue. Integration with Purchase Order Processing allows ordering direct to stock with multiple locations. Other features include slow and non-moving stock reports, stock valuation, bulk price update etc. Integrates with Purchase Order Processing, Sales Invoicing, Contract Ledger, Nominal Ledger and Spreadsheets. Features include: Goods can be entered using the Goods Received Program from Purchase Order Processing. The purchase invoicing program updates the Goods file with the latest prices. Stock movements and adjustments can be entered via programs within the stock system. Stock requisitions automatically update the Contract Ledger by generating a cost transaction against a given contract. Cost heads can be entered against each stock line, allowing the precise analysis of costs to contracts/nominal accounts. The Stock system handles multiple stock locations. Unlimited stock lines can be maintained against each location. The product file holds pricing and other useful references such as the manufacturer code, the latest supplier etc. Full tracking of deliveries and issues Full reporting facilities: Transaction logs Stock Movements Full Valuation report by location Link to the Luckins database Common product file with Summit Estimating and Purchasing Reservation of stock against a contract Full stock check snapshot and count facility

Requisitions Overview The Requisitions Module offers customers a seamless process enabling requisitions to be logged, approved, processed and tracked. The module can be used by both office and site-based staff and fully integrates with Summit 3000. For the requisitions module to work, the purchase order processing module needs to have been implemented. The requisitions module also integrates with the stock module. How does the Requisitions Module work? There are three steps in the requisition process: 1. Requisition Entry 2. Requisition Approval 3. Generation of Purchase Orders The requisition module is simple to use and is ideal for use by site staff who can place the requisition with basic information and the it is passed to the buyer to fully specifiy and obtain pricing. Where the buying is carried out centrally, this module allows easy management of materials requests and enables the buyer to have control over the purchasing function at all times. 1. Requisition Entry The requisition is entered onto the system by the site user who requires the goods using the requisition entry screen. At this stage a supplier does not need to be specified. The system will, however, allow the user to nominate a supplier. The requisition will allow multiple products to be requested along with alternative delivery addresses and separate delivery dates for each item. The requisition is then passed to the buyer on-line.

Requisitions 2. Requisition Approval The completed requisition form can then be accessed by the central buyer in order to place the order. At this stage the buyer completes the requisition form with cost heads, prices and suppliers if not already specified. The requisition can then be converted into a purchase order. The site user can now access this requisition to track its progress and to check on delivery times. Any errors on the requisition can be sent back to the requisitioner by the buyer who can then amend it and pass back to the buyer electronically. 3. Generate Orders Requisitions can be selected individually or as a range in order to convert to purchase orders. A summary screen will list all orders that have been created which can be printed. The system will automatically check that sufficient detail has been added to the form prior to conversion to a purchase order and will flag up any inconsistencies.. Where there are multiple requisitions for the same item for the same site, the system will consolidate them into one purchase order along with other requisitions for the same supplier and site. A major benefit when used with the purchase order processing module is the ability to not only track the requisition and order through to invoice, but to see the commitment of costs on a contract at earliest opportunity. Benefits of the Requisitions Module Offers a automated process to order goods for site staff Avoids paperwork and lost documents Seamless integration with Summit 3000 Purchase Order Processing Still retains control for central buying process Simple easy to use form for site staff to use to request goods Reduces errors and time chasing for lost information to complete orders Offers Site Managers views on order status to help manage contract planning Saves money by reducing local purchasing where central