Overview
Allows for three-way matching of the Purchase Order, the Receiving record, and the Vendor Invoice when preparing to pay Vendors for service-type items (and, optionally, for indirect material-type items). The purpose is to ensure that all three documents agree about the exact nature of the item, quantity, and price.
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Purchase Order Authorization
Fields
Division: Division in which the PO Authorization is being done.
NOTE If the default Division is not the Division you wish to do authorizations for, you can change your Current Division using the slide out ‘Quick Menu’ in the upper-right of your browser window. Alternatively, you can edit your Current User by going to your 'Manufacturing User' record, changing your Current Division, and re-launching the PO Authorization program.
Selection Option: Upon entering the program, the system automatically displays the Purchase Orders the user is authorized to update, based on the Authorization ID attached to the Manufacturing User record. If the user is a Super Authorizer (determined by the Manufacturing User record setting), all POs requiring authorization will be included in the list.
Alternatively, determine the 'Selection Option' which you want to use to filter the unauthorized PO Lines for processing (as below), provide the required Password, and press the 'Select' button to retrieve PO Lines available for the User's Authorization.
Each selection will filter the available PO Lines for Authorization depending upon the User's 'Authorization' rights as an Authorizer or Buyer.
Action to Process: From the PO Line details, determine the action(s) that you want to process by selecting the appropriate checkbox.
Quantities: Provide the appropriate values (e.g. TXN QTY, TXN AMT... certain fields are activated depending upon the Item and Service Type being processed). Press the 'Submit' button to execute the function.
Submit Button
Enter the required password in the field on the header, then click ‘Submit’ to perform the authorization.
In addition to authorizing payment, processing a PO Authorization prepares but does not book a General Ledger transaction. This General Ledger transaction is booked when the Vendor's Invoice is actually matched and submitted to Accounts Payable. It debits an 'Expense' account (which may in fact be an asset) and credits a liability account. The 'Expense' account' charged is either (1) derived from the 'Expense Account' field on the 'Item/Vendor' Master record or, (2), if the 'Expense Account Override Indicator ' checkbox is checked (default is unchecked), is the 'General Expense Account' defined on the 'Organizational Department' of the Division.
NOTE Hovering over the 'View' hyperlink under the column labeled 'Auth(orization) DetailPO Line details' shows previous Authorizations for a PO Line.
Processing PO Authorization Reversal
These allow a user to reverse a previously submitted PO Authorization.
NavigationPurchase Order Authorization
Step 1 - Launch the 'PO Authorization' program
To reverse a previously submitted PO Authorization, launch the 'PO Authorization' program and, using the previously discussed Selection Options, select the 'Reversal Option' checkbox to retrieve existing PO Authorizations that have not yet been matched to a Vendor's Invoice.
Step 2 – Identify the PO Line to be reversed
From the PO Lines detail retrieved, locate the Purchase Order and PO Line that you want to reverse and select the corresponding hyperlink entitled 'View'. This will display a list of previous PO Authorizations which you can reverse by selecting the 'Reversal' checkbox for the appropriate 'Receipt Number' and 'Seq No'. Once you close the 'View', a count of the number of 'Reversals Selected' will be displayed.
IMPORTANT Only 100 PO lines may be displayed at any time. If the user tries to reverse a PO Authorization on a PO having, say, 200 lines, the user can use the 'Display PO Lines From/Thru' filter to set the range of PO Lines displayed: 1 - 100, 101 - 200, and so on.
NOTE If more than one receipt transaction was performed on this PO/Line, the ‘View’ window will display each receipt separately, allowing the user to choose which receipt authorizations to reverse. As the checkboxes are checked, the number to the left of the window will increase, displaying how many total receipt authorization transactions will be reversed.
Step 3 - Reverse by pressing the 'Submit' button after entering the correct password in the Password field in the header area.
NOTE Similar to processing a PO Authorization, processing a PO Authorization Reversal doesn't book any General Ledger transactions reversing the 'Expense' and the liability. It simply reverses or ('de-authorizes) the record so that it is not available to match to a Vendors' Invoice (which is when the General Ledger entries are actually booked).
SEE ALSO
