Presentation on theme: "1 OCTOBER 15, 2008 9:00 AM to 11:00 AM PROCUREMENT CONNECTION."— Presentation transcript:
1 OCTOBER 15, 2008 9:00 AM to 11:00 AM PROCUREMENT CONNECTION
2 Technical Item 1: Proper procedure to liquidate SRM documents. 1.Reduce the line item quantity to that which has been received and invoiced on the line item. 2.Go to statistics tab in the line item detail Check no more confirmations check box Check no more invoices expected check box 3.Hit the order button.
3 Technical Item 2: What is the proper process for moving estimated quantities from one line item to another on a PO? –Receive error message Payment Exceeds Budget
4 Technical Item 3: Can you bypass system workflow on special delegations? Answer: OGC & OAG approvals are required on contracts for Executive Agencies therefore the approval cannot be skipped in the system regardless of special delegation.
5 Technical Item 4: Why would an agency shopping cart that was put on hold route to DGS for processing without agency approval of the cart? –The proper product category is being used. –The dollar threshold does not require DGS processing. –Some but not all line items route to DGS. –Examples: 10484726 & 10495760
6 Technical Item 5: Invoicing Plans: Why can't the purchasing agent check the delivery box and enter the serial numbers into all PO's issued for the lease of a MFD from the Ikon contract once the machine is delivered? –Comptroller indicates that each PO must be done at the beginning of each appropriate fiscal year. –How would the system spend 09 money in 08 if done ahead of time? –If an agency forgets to update a PO who would the supplier call regarding payment? Agency, comptroller, DGS?
8 Material Requirements Planning Overview Purpose of todays overview: Provide an understanding of MRP & its use Provide information for use when making purchasing decisions Clarify misconceptions regarding the methods of procurement for inventory Material Requirements Planning (MRP)
10 Inventory & MRP Facts MRP use is limited for the Commonwealth MRP Process Plans, Creates Planned Orders, Converts Planned Orders into Requisitions, and Creates Purchase orders Takes into consideration such things as re-order point, prior and future consumption, replenishment, lot size, lead-time and use In order to use MRP an agency must have an established MRP Controller, Inventory Planner, and material masters set up for MRP requirements. Material masters should be listed as contract line items when a statewide or agency contract is created MRP does not simply mean an order for inventory - MRP is a process -
13 Inventory Purchases There is a misconception that SRM cannot be used to order inventory items – SRM can be used to order inventory Many contract replication requests use the justification MRP –4600010375 with Hershey Creamery for Ice Cream Only Corrections ordered for inventory and POs were not generated through MRP No need to maintain contract in both places – should be SRM only
14 SRM for Inventory SRM can be used for inventory purchase orders not procured via the MRP process After the product ID (material master) has been entered the Order as Direct Material indicator appears: If non-valuated, use normal process - account assignment is required
15 Technical Item 7: Is there a way to allow shopping carts to be modified after they are fully approved? –Sole Source/Single Source – many times DGS wants changes made to the carts or additional documents attached. –Requires a whole new cart –Creates additional work –Increase the processing time waiting for new cart to be created and approved.
16 Technical Item 8: Full product category descriptions are not visible in SRM/SAP and as a result the wrong categories are being selected. –The system will not stop a PO that has an incorrect product category. –What is the reason behind needing a specific category? –Is it because of reporting of usage in BW?
17 Legal Item 9: What is the definition of subscription? Item 10: What are the roles of OAG, OGC & Agency Legal Counsel in the contract approval process? Item 11: What is a Request for Expression of Interest (RFEI)?
18 Business Process Item 12: Contract attachments DGS compiled list of contract attachments Used by Commodity Specialists Minimum requirement for RTKL Internal files listed are for DGS purposes Optional use by agencies Questions: Susan Rojas –717-346-8176 or firstname.lastname@example.org
19 Business Process Contract Attachments Continued IFB Contract Attachments (Multi Award Hierarchy Contract) –Electronic Bid utilizing doc builder –eMarketplace –Internal File IFB Contract/Purchase Order Attachments –SRM –eMarketplace –Internal File RFP Contract Attachments (Paper Submittal not using Doc Builder) –SRM –eMarketplace –Internal File RFP Contract Attachments (Using Document Builder) –SRM –eMarketplace –Internal File Location: http://www.portal.state.pa.us/portal/server.pt?open=512&objID=1487&&PageID=469679&level=4&css =L4&mode=2&in_hi_userid=161031&cached=true http://www.portal.state.pa.us/portal/server.pt?open=512&objID=1487&&PageID=469679&level=4&css =L4&mode=2&in_hi_userid=161031&cached=true
20 Business Process Item 13: SRM Supplier -901 Business Partner R3 Transaction XK03 Enter supplier number, check partner functions box & hit enter Supplier partner data is displayed The -901 business partner indicates they are registered in the PA Supplier Portal
21 Business Process Item 14: Assignment of Payments Contract supplier authorizes assignment of payment to another party. CVMU creates a 902 Partner Record within the suppliers master data. –To request a 902 Partner Record - purchaser must: Complete 902 Partner Record Request form (found under Procurement Forms on the DGS website) Procurement Forms Request must include the following info: –Complete name and address of Assignee –Vendor number of the Assignee –Signed letter from the Assignor documenting the assignment of payment –Must be on Assignors letterhead Multiple Assignees require separate request forms for each Submit documents to CVMU Resource Mailbox at ra-co-bfm- email@example.com- firstname.lastname@example.org If approved, the Partner Record will be created. If disapproved, the form will be returned to the requester with the reason for rejection.
22 Business Process Item 15: SRM Helpdesk There is an option to leave a message If line continues to ring with no answer –Hang up and call the number again
23 Business Process Item 16: Contract Change Notices Weekly notice sent by Sue Plecker High profile contracts or changes –Special notice is sent If a change notice was posted on the website and not included on the weekly Contract Change Notification it was an oversight
24 Business Process Item 17:.xml Invoices that Error Out Two reports Weekly IDOC Report is provided to the Commodity Specialist by IES –Shows what went wrong with the invoice –Commodity Specialist provides instruction to the supplier to correct the error Cancellation Report – run by the Commodity Specialist –Shows cancellations initiated by the comptrollers –Commodity Specialist contacts comptrollers to discuss issues –Commodity Specialist works with supplier and comptroller to correct issues
26 Additional Information SRM/SAP System Upgrades & Support Packs Upgrades ERP 6.0 Upgrade Effects all systems including ESS –Cut-over dates for system unavailability PA Supplier Portal: Thursday, October 30th 5:00 PM thru November 3rd 6:00 AM MyCommonwealthWorkplace: October 31st 4:00 AM thru November 3rd 6:00 AM.xml Supplier Transmittal of Invoices: Thursday, October 30th 5:00 PM thru November 3rd 6:00 AM
27 Additional Information SRM/SAP System Upgrades & Support Packs Support Packs What is a Support Pack? –Support packs contain all the current fixes from SAP in one bundle rather than applying individual notes on an as needed basis. –Support packs normally fix things, but on occasion may create a problem. –IES will do testing of the Support Packs All changes as a result of the support packs should be found at this time and IES will communicate this information to the agencies. –If end users notice anything different in the core or SRM systems once the support packs are put into production they should report the issue through the helpdesk/remedy ticket process. Tentative Schedule for Latest Support Packs: –Development - November 10, 2008 –Quality - November 17, 2008 –Production - December 6, 2008
28 Additional Information System Updates Guid Error – Public Advertising Supplier –The contact information for the public advertising supplier was deleted from the vendor record in error –This caused a Guid (Globally Unique Identifier) error on bids created prior to 8/12/08 using the public advertising supplier –This error is undetectable until workflow is initiated –This error is uncorrectable Resolution –The public advertising supplier record was corrected –Do not reuse or copy a bid created prior to 8/12/08 –Create a new bid
29 Additional Information System Updates PO Pricing Line Item Detail (R3 only) Valuation setting default is do not adopt Requisitioners should not change this setting Setting is necessary to insure contract pricing is pulled into the PO
30 Additional Information Supplier Enablement - ERS Evaluated Receipt Settlement (ERS) A shortened, easier process to pay suppliers –Eliminates need for issuing and processing invoices –Upon receipt of order, receiving agency enters GR –Overnight process generates an electronic invoice –2-way match: PO quantity & GR quantity –Treasury processes payment via ACH No action is needed by the comptroller Supplier did not have to submit a paper invoice Turnaround time for payment is reduced Goods Receipts must be done timely!
31 Additional Information Supplier Enablement - ERS Evaluated Receipt Settlement (ERS) - Pilot Program Started September 10, 2008 Suppliers: –Todd Heller, LLC -Contract 4600013343 Glass Beads –Ennis Paint, Inc. –Contract 4600010851 Traffic Line Paint Agency: Transportation Current activity: 2 POs were created and payments were successfully processed End of paint season – not much activity anticipated Investigating expanding the pilot to include: –Calcium Chloride –Rock Salt –Corrugated Boxes
32 Additional Information Supplier Enablement – Punch-outs Punch-out Catalogs Staples – Office Supplies –Development is in process –Anticipated completion early January –Pilot program to test punch-out with 1 or 2 agencies Graybar –Supplier has expressed an interest to do a punch-out –Initial meeting with supplier to be scheduled
33 Additional Information Supplier Information Informational Brochures To assist agencies in providing guidance to their suppliers –Supplier Response To A Solicitation –Registering As A New Supplier –Registering As An Existing Supplier