Match PO (Purchase Order) Receipts per Part No

Explanation

When purchasing consumables, the matching functionality helps you control that only parts that actually have arrived are matched and that the expense postings for these parts are always connected to individual invoice lines. When renting in assets from suppliers this functionality helps you to invoice the already generated rental transactions. It also prevents you from paying for the same parts twice, or paying for returned goods. This special matching activity is used to perform an automatic matching between specific purchase order receipts and supplier invoice lines. The automatic matching is started manually for a specific invoice at a time. The matching of purchase order receipts and invoice lines is made by order number and purchase part number or charge type. If a received order line refers to some purchased item without a part number, the matching is performed by the description of the item instead of the part number. Each invoice line must contain information on which purchase order number and which part number or charge type is referred to.

This matching activity can only be performed if you have entered one or more purchase order numbers on the invoice. When entering the purchase order number on the supplier invoice, you will have access to all purchase order lines that have been received and have passed through quality control for this particular purchase order. In the matching dialog box, it is possible to change the quantity, gross and net price, discount, additional cost and invoiced non-deductible tax amount for each purchased part according to content of the invoice. You can either select all order lines at once, or a specific number of order lines when matching with invoice lines.

The expense postings connected to each order line, i.e., each part purchased, are automatically retrieved as individual posting lines connected to the invoice line for those receipts and invoice lines where a matching is successful. The Line ID Ref field in Invoice/Supplier Invoices/Manual Supplier Invoice, Posting Information section, will then retrieve the (invoice) line identity automatically. If some of the received order lines included in the matching could not be automatically matched with a special invoice line, they will appear on the invoice but without any connection to a specific line. There are two options for handling the situation when there are still invoice lines that are not balanced after the matching. Either the posting lines resulting from the matching must be removed to be able to make a new matching, or there must be adjustments made on the invoice before it can be saved with every line in balance. Adjustments could either be made on invoice lines or on the posting lines received as a result of the matching (only the invoice line reference and tax code is possible to change on the posting lines).

Each received order line, marked to be included in the matching, automatically generates one or more posting lines on the invoice with the help of posting control or by using preposting previously entered for an order line. After this activity has been performed, you will have the expense postings for each purchase part clearly specified per invoice line, in a similar way as the prepostings are connected to individual purchase order lines.

Note: No number parts that are registered as miscellaneous parts in the MRO flow cannot be matched with any supplier invoice. The price of a no number part only indicates an estimation of the acquisition value.

Prerequisites

The purchase order lines must be received and must go through quality control. If it is a rental purchase order line, then the rental transactions must have been generated. You must either have started to register a new invoice or there must exist a previously entered invoice with at least one invoice line. The invoice must have a reference to a purchase order and the invoice line must have information about purchase order reference and part number or charge type. The purchase order related information on the invoice line could be entered manually. Validation of the entered part number or charge number will be made against the actual purchase order number if IFS/Purchasing is installed. Invoice lines with purchase order related information could also be created via external interface when receiving an invoice with this kind of information via EDI. The automatic matching is always started manually with a right-click for a specific invoice at a time.

System Effects

A purchase order receipt or rental transactions will be matched to an invoice line provided that the purchase order number and the part number/charge type matches. In this case, the postings connected to a matched order line will automatically be connected to the matched invoice line. Since a purchase order receipt is identified by order number, order line number, release number, receipt number, sequence number and the part no/charge type, there could be situations where the order number and part no/charge type is the same for different combinations of order line number, release number, receipt number, and sequence number. In a matching situation where you have more than one invoice line with the same order number and part no/charge type, which should be matched with several purchase order receipt lines (that also have the same order no and part no/charge type), all postings connected to these receipt lines will be connected to the invoice line with the highest line ID of those with the same order number and part no/charge type. Before saving the invoice, the line and/or posting information must be adjusted manually on the invoice.

Each received order line included in the matching will automatically generate one or more posting lines on the invoice with the use of posting control or any defined pre-posting connected to the order lines. If there is a price difference between the purchase order line and the supplier invoice line, a price difference posting will be created automatically. If there is a non-deductible tax difference between the purchase order receipt and the supplier invoice, a non-deductible tax difference posting will be created automatically.

When the invoice is saved, a voucher is created with the final cost postings generated according to the information on each purchase order line. For the received order lines, the quantity of the purchased parts will be updated to the Invoiced Qty field. This can be viewed in the Receipts History window. When an invoice with matched order lines is canceled, the invoiced quantity of the received lines is reduced.

When matching invoice lines with received purchase order lines, a special check is made. If the purchase parts of the matched order lines are included in a supplier agreement using part step pricing, cumulative values for quantity and amount will be updated for the applicable period. If the matched purchase parts, or no-number parts, also belong to a supplier assortment included in a supplier agreement, cumulative value for the amount will be updated for the applicable period in the assortment step pricing. The current amount for the whole supplier agreement will also be updated in both cases.

When rental transactions are matched, the invoice details can be viewed in the Rental Transaction Invoice Details window  and the Invoice Status field in the Rental Transactions window will be changed to Invoiced.