What's new: Procurement process changes for requesters
September 26, 2013
Here are business process changes that will assist requesters during the cutover to Ariba P2P.
VENDOR LIST/PRODUCT CATEGORIES: The concept of the “Vendor List” is no longer applicable in Ariba. For non-catalog orders the commodity code (= product category in SRM) no longer affects which vendors can be selected in order for the order to auto-approved by Procurement. (See Purchasing Worklist below.) For non-catalog orders, users should pick the best commodity code for the item being purchased as this enables Purdue to categorize spend with vendors and negotiate the best pricing terms. Catalogs will continue to default the commodity code, which cannot be changed. If you notice a commodity code that does not make sense for the catalog item being selected, please notify the Procure-2-Pay help desk at pshelpdesk@purdue.edu so that the vendor catalog can be reviewed and updated as appropriate.
COMMODITIES AND GL ACCOUNT MAPPING: Revised mappings as well as new commodities with mapped GL Accounts have been added for users in order to classify purchased items more accurately. Where possible, use the defaulted GL Account based upon the commodity code selected (non-catalog) or derived (catalog). However, if it is necessary that you change the GL Account in order to correctly allocate the expenses to the SAP system, please submit the change to the P2P help desk for tracking (if the same commodity is chosen and the g/l is repeatedly changed, you only need to log the change once).
PURCHASING WORKLIST: Today all “Preferred Vendor” orders, regardless of amount, and all “Vendor List” orders over $10K require procurement review. The new rule is that all vendor orders over $1,000 will require procurement review on the West Lafayette and Fort Wayne campuses. All non-catalog orders for Calumet and PNC will require procurement review. This results in a lower quantity of orders to be reviewed by purchasing, allowing them to focus on orders of higher value for sourcing opportunities. To facilitate the review of orders over $10K on the West Lafayette campus, procurement will implement a new central mailbox on the procurement website under “How to Buy” Orders over $10K. Testing and website changes are underway and will be communicated upon completion.
ADDING LINE ITEMS AFTER PO ISSUED: Once a PO is issued, any new line items that are needed from a vendor must be issued via a separate PO to the vendor. The vendor should not be contacted to add additional line items to an existing order. If an invoice has line items that were not on the PO, then those lines will not be paid until a procurement buyer has reviewed the issue with the vendor and the department to determine the appropriate resolution.
