How To Add Lines To An Approved Requisition?

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

Oracle iProcurement - Version 12.2.3 and later
Information in this document applies to any platform.

SOLUTION

Lines can be added to an approved requisition by the following methods:

  1. The buyer can return the requisition to the requisition preparer from the AutoCreate (Tools > Return) before the Purchase Order (PO) is created. Once the requisition is returned, preparer can change and add more lines to the requisition.

  2. If the PO is created for the approved requisition, requester / preparer cannot add lines. They can only change the existing lines if those lines meet certain conditions.

  3. If there is no PO yet, the requisition can be changed, and in the Edit Lines, we can copy existing lines to add new lines.

 (Doc ID 1981694.1)

For more details please visit http://www.oracle.com/

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Pre-approved Status in Oracle Purchasing

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

Question of the Day!! 

 

                

Module: Oracle Purchasing

No.:  What does pre-approved  mean ?

Ans: Pre–Approved document is one in which a person with the final authority to approve the purchasing document approves it, but then forwards it to someone else for additional approval, thus changing its status to Pre–Approved.

A Pre–Approved document does not show up as

 supply for planning module until its status

 changes to Approved

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Quotation types!!!

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

Question of the Day!!   

Module: Oracle Purchasing

No.:  What are the Quotation types?

Ans: There are three types of Quotations.

There are three types of quotations in Purchasing by default:

Catalog:

 Quotation type is Used for high-volume items or items for which your supplier sends you information regularly. A Catalog quotation also includes price breaks at different quantity levels.

Standard: 

Quotation type is Used for items you'll need only once or not very often, but not necessarily for a specific, fixed quantity, location, and date. For example, you could use a Catalog quotation for office supplies, but use a Standard quotation or  for a special type of pen you don't order very often. A Standard quotation  also includes price breaks at different quantity levels.

Bid:

Quotation type is Used for a specific, fixed quantity, location, and date. For example, a Bid would be used for a large or expensive piece of equipment that you've never ordered before, or for an item that incurs transportation or other special costs. You cannot specify price breaks for a Bid quotation .

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Purchase Price Variance!!

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

Question of the Day!!  

                

Module: Oracle Purchasing

No.:  What is Purchase Price Variance?

Ans: 

The purchase price variance is calculated as the quantity received multiplied by the difference between the purchase order price and the standard cost.

The purchase price variance is the difference between the actual price paid to buy an item and its standard price, multiplied by the actual number of units purchased. The formula is:

(Actual price - Standard price) x Actual quantity = Purchase price variance

Purchase Price Variance Report

The Purchase Price Variance Report shows the variance between the purchase price on the purchase order and standard cost for all items you receive and deliver into inventory and work in process. Inventory records purchase price variance on delivery into a subinventory. Work in Process records purchase price variance on delivery into a job or repetitive schedule. For internal requisitions, the purchase order ship to location is associated with the organization in the Customers window

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AutoCreate Documents in Oracle Purchasing : PO

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

Question of the Day!!  

                

Module: Oracle Purchasing

No.1:  What is Autocreate documents in Oracle Purchasing?

Ans: Purchasing provides automatic creation capabilities for documents. Buyers can quickly create standard purchase orders, planned purchase orders, blanket releases, RFQs, and Oracle Sourcing negotiations from any available standard (not internal) purchase requisition lines.

Purchase Requisition -> RFQ

RFQ -> Quotations

Purchase Requisition -> PO

Fast Purchase Order and RFQ Creation

All purchase requisition lines available for autocreation go into a single requisition pool. Buyers can retrieve any of the requisition lines from the pool and use the AutoCreate Documents window to create standard and planned purchase orders, blanket releases and RFQs. 

You can place a requisition line on as many RFQs as you want before you place it on a purchase order, after which it is no longer available in the requisition pool.

Fast Quotation Creation

Buyers can use the Copy Documents window to create supplier quotations for each RFQ. Buyers can choose entire RFQs or specific RFQ lines and shipments

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What is 2 Way, 3 Way 4 Way Matching!!!

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing

                    QUESTION OF THE DAY!! 

Module: PO

Question :  What is 2 way, 3 way and 4 way matching?

Ans: There are 3 Types of Matching.

• 2 Way
• 3 Way
• 4 Way

  

2-Way - PO Line quantity and Invoice quantity should match

3-Way - PO Line quantity, Received quantity and Invoiced quantity should match

4-Way - PO Line quantity, Received quantity, Accepted quantity and Invoiced quantity should 

2-way matching verifies that purchase order and invoice information match within your tolerances as follows:

• Quantity billed is less than or equal to Quantity ordered

• Invoice price is less than or equal to Purchase order price

3-way matching adds a third criterion to verify that receipt and invoice information match with the quantity tolerances you define:

• Quantity billed is less than or equal to Quantity received

4-way matching adds a fourth criterion to verify that acceptance documents and invoice information match within the quantity tolerances you define:

• Quantity billed is less than or equal to Quantity accepted

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Types of Purchase Orders (PO) in Oracle Purchasing Module

Oracle ebusiness suite>Oracle SCM > Oracle Purchasing     

  QUESTION OF THE DAY!!  

Module: Oracle Purchasing

Question:  What are the Types of Purchase Orders (PO) in Oracle Purchasing Module.

Purchasing provides the following purchase order types: 

• Standard Purchase Order
• Planned Purchase Order
• Blanket Purchase Agreement
• Contract Purchase Agreement

1-Standard Purchase Orders

You generally create standard purchase orders for one-time purchase of various items. You create standard purchase orders when you know the details of the goods or services you require, estimated costs, quantities, delivery schedules, and accounting distributions. If you use encumbrance accounting, the purchase order may be encumbered since the required information is known.

 - One Time Order 

- Know the detail of Items , Quantity ,price , Schedule etc.

2-Planned Purchase Orders

A planned purchase order is a long-term agreement committing to buy items or services from a single source. You must specify tentative delivery schedules and all details for goods or services that you want to buy, including charge account, quantities, and estimated cost.

2.1-Scheduled Releases

You can issue scheduled releases against a planned purchase order to place the actual orders. If you use encumbrance accounting, you can use the planned purchase order to reserve funds for long term agreements. You can also change the accounting distributions on each release and the system will reverse the encumbrance for the planned purchase order and create a new encumbrance for the release.

3-Blanket Purchase Agreements

You create blanket purchase agreements when you know the detail of the goods or services you plan to buy from a specific supplier in a period, but you do not yet know the detail of your delivery schedules. You can use blanket purchase agreements to specify negotiated prices for your items before actually purchasing them. Blanket purchase agreements can be created for a single organization or to be shared by different business units of your organization (global agreements). You can encumber funds for a blanket purchase agreement.

Agreed Amount

3.1-Blanket Releases

You can issue a blanket release against a blanket purchase agreement to place the actual order (as long as the release is within the blanket agreement effective dates). If you use encumbrance accounting, you can encumber each release.

4-Contract Purchase Agreements

You create contract purchase agreements with your suppliers to agree on specific terms and conditions without indicating the goods and services that you will be purchasing. You can later issue standard purchase orders referencing your contracts, and you can encumber these purchase orders if you use encumbrance accounting.

4.1 -Global Contract Agreements

You can use global contract agreements (a special type of contract purchase agreement) to centralize a supplier relationship. Buyers throughout the enterprise can then leverage this relationship by referencing this global contract agreement in your standard purchase orders.

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