1. Course Number: V001 SRM Sourcing Purchase Order for New Users

2. Welcome!

3. Introductions

4. Course Objectives

5. 44 After successfully completing this course you will be able to: –Understand the basics of Commonwealth Purchasing –Create a Purchase Order “from scratch” and send for processing –Edit a Purchase Order and/or Delete a Purchase Order –Create a Purchase Order with reference to a Contract –Understand the requisitioning process –Source a requirement and generate a purchase order from the solicitation document –Liquidate commitments

6. 55 Agenda Commonwealth Procurement Basics Creating, Editing, and Deleting Purchase Orders Approval Agent Report Understanding Requisitioning The Buyer’s Worklist Sourcing an Assigned Requirement Generating a Purchase Order from an Awarded Bid Liquidating Commitments

7. Commonwealth Procurement Basics

8. 77 Commonwealth Procurement Law Signed into law in May of 1998 by former Governor Tom Ridge Act 57 contains the “Commonwealth Procurement Code”, Title 62 of the Pennsylvania Consolidated Statutes –The Procurement Handbook is a standard reference guide for the Commonwealth Procurement Code Act 57 of 1998

9. 88 Commonwealth Procurement Law The Pennsylvania Procurement Handbook provides information on the policies, procedures, and guidelines for the procurement of materials, services, and construction under the authority of Act 57 of 1998 The Handbook is “Online” and no longer exists in hard copy or PDF –By being maintained online, the Handbook will always be current and in “real-time” Procurement Handbook

10. 99 Commonwealth Procurement Law All Commonwealth Purchasing Professionals should be familiar with the structure and organization of the Procurement Handbook The Handbook is divided into four Parts, with numerous Chapters under each Part –Each Chapter is specific to a particular procurement rule or procurement type –URL: www.dgs.state.pa.us/procurementwww.dgs.state.pa.us/procurement Procurement Handbook (cont’d)

11. 10 Disability Procurement - PIBH Section 520 of the Commonwealth Procurement Code, 62 Pa.C.S. § 520 DGS-PIBH Operational Agreement DGS Requirements Contract

12. 11 Disability Procurement - PIBH Commonwealth Procurement Code Section 520 –Governs Commonwealth purchasing of materials manufactured and services performed by persons with disabilities –Provides the framework for the Commonwealth purchasing program to benefit persons with disabilities. –DGS designates a central nonprofit agency to facilitate program orders and to market and sell program products to Commonwealth agencies.

13. 12 Disability Procurement - PIBH Commonwealth Procurement Code Section 520 (cont’d) –Gives DGS the authority to establish the guidelines, policies, and procedures for doing business with the central nonprofit agency. No competitive bidding is required DGS establishes the fair market price (FMP) Persons with disabilities must make an appreciable contribution The agency for persons with disabilities must also be capable of meeting the Commonwealth agency’s specifications. DGS, with assistance from the purchasing agency, must conduct annual compliance reviews for contracts exceeding $300,000. Deficiencies must be corrected within 45 days of notice, or there may be penalties.

14. 13 Disability Procurement - PIBH DGS-PIBH Operational Agreement –DGS designated PIBH as the central non-profit agency –Defines the operational procedures Fair market price determination Carve-out List (reference materials and services that agencies are required to offer to PIBH) Annual Disability Procurement Council Meetings Allows annual price adjustments Only DGS has the authority to review certain confidential contract information

15. 14 Disability Procurement - PIBH DGS-PIBH Operational Agreement (cont’d) PIBH may be used as a subcontractor to the prime contract For performance deficiencies, purchasing agency must submit written notification to PIBH and their member agency giving them 45-days to correct deficiencies Gives PIBH the option to file a dispute that includes a pre-protest exchange of communications between the parties –Agreement continues until one party gives the other party 60 days written notice of termination (or until termination for default)

16. 15 Disability Procurement - PIBH Statewide Requirements Contract –Contract covers the Commonwealth agencies’ actual purchasing requirements for materials manufactured and services performed by persons with disabilities. Includes both materials and services DGS must establish the FMP No minimum order P-card enabled –The contract terminates 60 days after one party gives the other party written notice of termination (or until termination for default)

17. 16 Disability Procurement - PIBH The PIBH Carve-Out List includes all materials and/or services that you must first offer to PIBH before you can purchase the materials or services from any other supplier. If the materials or services are not listed on the PIBH Carve- Out List, then you are not required to offer the materials or services to PIBH. –You may proceed with purchasing the materials or services through other procurement methods. –If you would still prefer to order the materials or services from PIBH, even though the item is not listed on the PIBH Carve-Out List, you may request that DGS establish a fair market price.

18. 17 Disability Procurement - PIBH Do not order any PIBH item directly from PIBH if the PIBH item is available on another contract. You must order the PIBH item from the applicable contract. Currently, there are PIBH items on the following contracts: –PIBH Statewide Requirements Contract –Office Supplies Statewide Requirements Contract –Janitorial Supplies Statewide Requirements Contract –Carpet Installation Statewide Requirements Contract

19. 18 Statewide Requirements Contracts These contracts cover goods and services that are commonly used by most agencies, or are used by one or more agencies at locations throughout the Commonwealth DGS negotiates and manages these contracts and Agencies are required to order their items or services directly from the supplier who holds the contract Statewide contracts make ordering by the agencies practical, convenient, and at a cost-savings by purchasing at bulk rates

20. 19 Statewide Requirements Contracts Some examples of statewide requirements contracts are: –Medical Services –Equipment Maintenance Program –PIBH Products & Services –Correctional Industries Products –Catering Services –Office Supplies –IT Hardware –Commercial Furniture –Maintenance, Repair, Operation (MRO) * To view additional contracts, see the DGS Portal Website

21. 20 Understanding Contracts (eMarketPlace) Open Internet Explorer. In the Address line, enter the following address: www.emarketplace.state.pa.us. www.emarketplace.state.pa.us

22. 21 Understanding Contracts (eMarketPlace) The eMarketPlace website will display. To search for contracts, select the Contracts section as shown below.

23. 22 Understanding Contracts (eMarketPlace) This will open the contracts search screen as shown below.

24. 23 Understanding Contracts (eMarketPlace) Select the “Search by” dropdown to select how you want to search for a contract. You can search open or archived contracts, or you can search both. You can also view a list of Contracts by selecting the link at the top of the page.

25. 24 Understanding Contracts (eMarketPlace) If you choose Description from the dropdown, another space will open for you to enter a keyword/description to search by. In the example below, were entered the word “catering” and selected the search button. This brought up all the contracts that include catering.

26. 25 Understanding Contracts (eMarketPlace) The contract search screen shows the Contract Number, Description, Overview, Change Notice, Reason for Change, Category, Ending Date, Supplier, COSTARS, Commodity Specialist, Agency, Last Updated, Parent No., MSCC, PCard, Solicitations, Tabs, Awards, Contract No. However, to see all of this information you will need to scroll to the right. To view the Overview, you would select the piece of paper in that column, same with the change notice.

27. 26 Understanding Contracts (eMarketPlace) Contract Overview

28. 27 Understanding Contracts (eMarketPlace) Copy of Fully Executed Contract

29. 28 Understanding Contracts (eMarketPlace) Contract Change Order

30. 29 Searching for MBE/WBE on the DGS Portal Website Open your Internet Explorer Type in the address bar: www.dgs.state.pa.uswww.dgs.state.pa.us Select the “Procurement” link at the top of the page.

31. 30 Searching for MBE/WBE on the DGS Portal Website On the left side of the page, click on Bureau of Minority and Women Business Opportunities.

32. 31 Searching for MBE/WBE on the DGS Portal Website In the center of the page in the left column, click on “Find MBE/WBE’s”. This will take you to the database search for MBE/WBE’s.

33. 32 Searching for MBE/WBE on the DGS Portal Website You can find MBE/WBE’s by using the Code Look Up for the type of service/material you need, by vendor name, or by the county your looking for a vendor to exist in.

34. 33 Dollar Thresholds Under certain conditions, Agencies are authorized to procure materials and services outside of Statewide Requirements Contracts When these conditions exist, the procurements may not exceed the dollar thresholds outlined in Part I, Chapter 7, of the Procurement Handbook –The next two slides briefly describe the types of procurements and thresholds

35. 34 Dollar Thresholds (non-contract materials) $0.00 - $5,000.00 –No bid required/No documents required – Agency $5,000.01 - $10,000.00 (small informal bid) –Requires 3 quotes – Agency $10,000.01 - $20,000.00 (delegated formal bid) –Delegated Competitive Sealed Bidding - Agency $20,000.01 + (DGS delegated formal bid) –Competitive Sealed Bidding - DGS

36. 35 Dollar Thresholds (non-contract services) $0.00 - $5,000.00 –No bid required/No documents required – Agency $5,000.01 - $10,000.00 (small informal bid) –Requires 3 quotes – Agency $10,000.01 - $250,000.00 (delegated formal bid) –Delegated Competitive Sealed Bidding - Agency $250,000.01 + (DGS delegated formal bid) –Competitive Sealed Bidding – DGS

37. 36 IT Procurement/Waiver Review Process Information Technology Bulletin – ITB-EPM003 –The purpose of this ITB is to provide direction to agencies for IT procurements according to specific dollar thresholds and for IT procurements for all non-standard purchases. –This ITB applies to all agencies, boards, commissions and councils under the governor’s jurisdiction. Agencies not under the governor’s jurisdiction are encouraged to follow this policy to ensure they develop and implement applications that facilitate enterprise-wide interoperability.

38. 37 –This ITB established an enterprise-wide policy for IT procurement reviews for purchases in excess of $100,000 and is issued in accordance with Executive Order 2004-8 “Enterprise Information Technology Governance Board”, issued on May 9, 2007. –Executive Order 2004-8 broadens the role of the Office of Administration/Office for Information Technology (OA/OIT) by requiring agencies to receive approval from the OA/OIT prior to the issuance of IT procurement documents and/or requests. Review of standard and non-standard purchases is based on type/dollar thresholds as defined in the following examples. IT Procurement/Waiver Review Process (cont)

39. 38 IT Procurement/Waiver Review Process (cont) The agency Chief Information Officer (CIO)/IT Manager is to email the documentation specified in ITB-EPM003 to the agency’s OA/OIT CoP Planner at least twenty (20) working days prior to issuance to a supplier(s).

40. 39 IT Procurement/Waiver Review Process (cont) Communication Process –Once the Agency (Chief Information Officer) CIO/IT Manager has submitted complete documentation to the CoP Planner, the request is submitted to the Deputy Chief Information Officer (DCIO) and if necessary, the Technical Architecture Review (TAR) board. The agency CIO/IT Manager will be notified if clarification or additional information is needed. In some instances, the agency will meet with the TAR board for discussion/clarification. Once all questions are answered and issues resolved, the CoP Planner will notify the agency CIO/IT Manager, CoP Agency Services Coordinator, DCIO, Comptroller, and the DGS BOP that the request has been approved (with or without comments/conditions) or denied.

41. 40 IT Procurement/Waiver Review Process (cont) Exemption from This Policy: –In the event an agency chooses to seek an exemption for reasons such as the need to comply with requirements for a federally mandated system, the waiver portion of the IT Procurement/Waiver Review Form is to be completed and submitted to the agency CoP Planner. See ITB-EMP003 IT Procurement Review Process documentation at the OA/OIT website for further information. http://www.portal.state.pa.us/portal/server.pt?open=512&objID=416&PageID=210791&mode=2 http://www.portal.state.pa.us/portal/server.pt?open=512&objID=416&PageID=210791&mode=2

42. Purchase Orders

43. 42 Purchase Order Overview Contracts do not encumber or “commit” funds –Encumbrances are important in determining the total amount of funds available in a fiscal year Purchase Orders commit funds and can be valid for up to 5 years –A commitment encumbrance is created when a PO is fully approved and provides funding for that specific item or service Contracts vs. Purchase Orders

44. 43 Purchase Order Overview The purpose and main benefit of encumbrance accounting is avoiding budget overspending Encumbrances can also be used to predict cash outflow and as a general planning tool The formula used to determine the amount of funds which are available is: Funds Available = Budget – Actuals - Encumbrances Contracts vs. Purchase Orders (cont’d)

45. 44 Purchase Order Overview When the procurement begins with a requisition, upon approval, funds are placed aside in the form of an obligation encumbrance (Pre-Commitment) After the requisition’s associated purchase order is approved, the obligation encumbrance becomes a commitment encumbrance Upon payment to the vendor, the commitment encumbrance is reversed and the funds appear under the Actual funds balance rather than an Encumbrance balance Contracts vs. Purchase Orders (cont’d)

46. 45 Purchase Order Overview So… …when should you use a contract? …when should you use a multi-year PO?

47. 46 Type of CommitmentPreferred Document  Long-term commitment with supplier  Funding is not required to be committed up front, but at the time of PO creation Contract  Multiple agencies or plants within an agency are creating POs Contract  Budgetary commitment of funds is required, including future-year funding Multi-year PO Purchase Order Overview

48. 47 Stand alone Purchase Orders (i.e., from “scratch”) can be created, based on a supplier’s quote or no bid award, when a requirement has not been submitted Stand alone Purchase Order’s should be created when procuring items or services designated as “exempt” in the Field Procurement Handbook (Chapter 1, Paragraph C, #5) –Examples: works of art, historic objects, published books, maps, periodicals, technical pamphlets, video and audio reproduction, etc. There is no “copy” or template function for Purchase Orders in SRM Purchase Order Overview

49. 48 In many cases, the use of Document Builder is not necessary when creating Purchase Orders –For POs under $10,000, the following standard language is included: “In performing the services or furnishing the material covered by this Purchase Order, the supplier agrees to comply with the Standard Terms and Conditions for Purchase Orders Not Exceeding $10,000, Form STD 280, located on the DGS website….” –For POs referencing an existing contract, the following standard language is included: “This Purchase Order is issued pursuant to the referenced Contract and constitutes the Suppliers authority to deliver the item(s) referenced at the prices stated……in accordance with the Contract terms and conditions” Purchase Order Overview

50. 49 –For POs referencing a Solicitation, etc., the following standard language is included: “This Purchase Order is comprised of…the above-referenced Solicitation, the Suppliers Bid or Proposal, and any documents attached to this Purchase Order or incorporated by reference” Additional instructions to the supplier may be added in the PO Header Text, Item Text, and in any additional document attachments Purchase Order Overview

51. 50 Creating Purchase Orders SRM Agency Purchaser Select Purchase Order Select Process Purchase Order

52. 51 Creating Purchase Orders Search for Purchase Orders using the common search methods, or select from the Worklist Create a Purchase Order in the same manner as any other document in SRM

53. 52 Creating Purchase Orders Select the appropriate PO transaction type and select the CREATE button –For Sole Source POs created by agencies designated “Independent”, use transaction types ZSBI or ZSDI –For all other Sole Source POs created by agencies, use transaction types ZSSB or ZSSD

54. 53 Creating Purchase Orders On the Header Data tab, Basic Data sub-tab, complete the applicable fields, taking special note to check the “Non Standard Terms & Conditions checkbox when T’s & C’s are non- standard

55. 54 Creating Purchase Orders Scroll down to the Partner Overview area and complete the required fields: Vendor, Requester, Goods Recipient, Ship-To Address, and Location –Select the DISPLAY icon to view the Partner’s details

56. 55 Creating Purchase Orders If the Vendor number is not known, a search can be performed either in SRM or SAP R/3 –Select the FIND icon to search in SRM –To search in SAP R/3 using transaction code XK03, see additional information on next slide

57. 56 This transaction allows the user to display all the information contained in a vendor’s master record, based on the vendor number –Use this transaction to research any aspect of the vendor’s master data The XK03 transaction allows the user to see information in all screens –Note: The Commonwealth is not using the Withholding tax screen Using SAP Transaction XK03 (Vendor Display) to find vendor information Creating Purchase Orders

58. 57 Creating Purchase Orders To find additional Vendor Ordering Addresses, select the Vendor details icon. Select the Further Addresses button to search for additional addresses for that vendor.

59. 58 Creating Purchase Orders The vendor number will automatically default into the search field. Select the “Start” icon.

60. 59 Creating Purchase Orders A list will display showing all available ordering addresses for that vendor.

61. 60 Creating Purchase Orders DOCUMENTS sub-tab Enter applicable text in the fields within Text Overview area –Scroll forward for additional Text Type options, such as Encumbrance Information

62. 61 Creating Purchase Orders DOCUMENTS sub-tab Attach necessary documents to the Purchase Order in the Attachments area, located below the Texts area NOTE: Do not use a “wildcard” character in the title of your attachment. Also, be careful that your file name is not to long.

63. 62 Creating Purchase Orders Purchase Orders are not output automatically Purchasers must manually trigger the output of the document OUTPUT sub-tab

64. 63 In SRM output, the Purchase Order will include an issuance date instead of an approval date When properly output, the issuance date is the date/time of the output If a change is made, the changed document will show the new date at output Creating Purchase Orders

65. 64 Creating Purchase Orders OUTPUT sub-tab Use the OUTPUT sub-tab to print. Select the SEARCH icon to search for the printer, or enter the printer “short name” (i.e. OA70) if known Enter your agency’s two- character code in CAPS, along with an * (asterisk) to generate a list of your agency’s network printers –Select the START button

66. 65 Creating Purchase Orders In the results list, select the desired printer by clicking on the name –The printer name will populate into the Printer field

67. 66 Creating Purchase Orders OUTPUT sub-tab If approvals are needed, the document cannot be output until all approvals are complete –Upon final approval, access the “Change Purchase Order”, go to the Output sub-tab, and select the LOG button

68. 67 Creating Purchase Orders In the search results of Document Outputs, select the OUTPUT icon to print the fully executed document –Note the Status is “Not processed” OUTPUT sub-tab The document has printed and the Status has changed to “Successfully processed”

69. 68 Creating Purchase Orders The Approval sub-tab is not functional in SRM, due to custom workflow that we are using APPROVAL sub-tab Use the Approval Agent Report to view the status of approvals for a specific procurement document

70. 69 Creating Purchase Orders Select the Item Data tab and continue data entry in the applicable fields –Enter as much of the information listed on the Overview Screen as possible. Access line item details by selecting the Item number

71. 70 Creating Purchase Orders The Item Data tab also contains fields to add shopping cart line items and/or catalog items. –Enter the Shopping Cart number and Item number, if known, then select the ADD button

72. 71 Creating Purchase Orders –If shopping cart number is not known, select the START SEARCH button to view carts as shown below

73. 72 Creating Purchase Orders –Expand the cart to display the line items –Select the checkbox next to the applicable line item to be added to the Purchase Order –Select the ADD TO PURCHASE ORDER button

74. 73 Creating Purchase Orders –The shopping cart line item details are pulled into the Purchase Order

75. 74 Creating Purchase Orders Continue data entry in the applicable Item Data sub-tabs

76. 75 Creating Purchase Orders Line item prices for Purchase Orders created from “scratch” will be “Manual” –Enter the Amount, Per, and Unit

77. 76 Creating Purchase Orders Enter applicable text in the fields within Text Overview area Attach necessary documents to the Purchase Order in the Attachments area NOTE: Do not use a “wildcard” character in the title of your attachment. Also, be careful that your file name is not to long

78. 77 Creating Purchase Orders Be certain to enter Account Assignment information into each line item in Purchase Orders created from “scratch” –Use the DETAILS icon to enter data into each Account Assignment Item ACCOUNT ASSIGNMENT sub-tab

79. 78 Creating Purchase Orders An account assignment is the coding used to reflect which account the funds for a purchase are to be pulled from –Account assignments consist of the Cost Center, Internal Order (if federal funds are used), Fund, and the General Ledger ACCOUNT ASSIGNMENT sub-tab

80. 79 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab –If necessary, select the method of Cost Distribution per line item Do not use “by Value”. –If necessary, change the Cost Assignment Category –Choose the ellipsis (“…”) for additional category options

81. 80 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab Controlling Cost Centers 18= Agency (same as Business Area number) 1 = Secretary or Deputy Secretary 0100= Organization 123= Agency Defined Example: 1810100123

82. 81 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab SAP Fund Example: 1012307333 10= Ledger 123= Appropriation 07= Fiscal year 333= Agency Defined-Lower level fund

83. 82 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab Funds Center Example: 1811020000 18= Agency (Business Area) 1= Optional Secretary or Dep Sec 1020= Organization 000= Always 0

84. 83 Funds Center and Funds Center Hierarchy: –Fund Centers represent the organizational areas of responsibility for budgetary monitoring and reporting –CO objects, cost centers, internal orders, WBS elements can be assigned or linked to funds centers Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab

85. 84 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab G/L Account and Commitment Item (see next slide)

86. 85 Commonwealth G/L Types 1 – Asset Accounts 2 – Liability Accounts 3 – Reserves, Unreserved, Equity Accounts 4 – Revenue Accounts 5 – Costs of Goods Sold 6 – Expense Accounts 7 – GAAP only accounts 8 – Reserved for CO CO secondary postings Such as 200 transfers 61 – Personnel Services 62 – Inventory Consumption 63 – Operational Expense 64 – Fixed Assets 66 – Grants 67 – Bad Debt Expenses 68 - Depreciation Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab

87. 86 General Ledger/Commitment Items Relationship G/L Accounts Commitment Item Accounts 6311010 Travel-Lodging 6311020 Travel-Subsistence 6311030 Travel-Mileage 6311040 Travel-Transportation 6311999 Travel-Other 6311000 Travel ACCOUNT ASSIGNMENT sub-tab Creating Purchase Orders

88. 87 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab Functional Area Example: 1340 1= Program-Budget 3= Category 4= Sub-category 0= Not defined

89. 88 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab Controlling Federal Grant Internal Orders G = Agency Indicator 21100= Grant Number 1000= Program Measure 01= Class Example: G21100100001

90. 89 Internal Orders are also used for: –Maintain cost collection –Costs with pre-determined life i.e., dockets, claim cases, missions –Federal Grants Non-Grant Internal Order numbers will be system generated, with some exceptions for unique business process Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab

91. 90 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab –Selecting “AS” will bring up the entry screen for Asset accounting

92. 91 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab –Select “ALL” (Mixed Account Single Line) when there is no cost distribution by quantity or percentage between cost centers, funds or G/L accounts, but there is a need to enter an additional cost element to cost center (order, or WBS element)

93. 92 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab –Select “MIX” (Mixed Account Multi Line) when there is a cost distribution by quantity or percentage using multiple cost centers, funds or G/L accounts

94. 93 Creating Purchase Orders ACCOUNT ASSIGNMENT sub-tab –Enter applicable data, and if necessary, select the “Next” link to continue data entry on the next line –Select the “Back to Account Assignment Overview” link to return to the previous screen

95. 94 There is a 40-character limit on the document’s name – Characters include letters, punctuation, and spaces The name must include: – Your 2-digit agency business area number – Space – Noun that describes the item (no abbreviations) – Comma – Space – Adjectives or Descriptors, as necessary Naming Your Document Naming an SRM Document

96. 95 Examples: – 21 Van, wheelchair – 78 Trucks, dump, heavy – 78 Tarp, cover system, road salt – 35 Monitors, air quality – 35 Analyzer, thermogravimetric – 35 Mass Spectrometer, gas chromato, TOF – 20 Chromatography system, ion, upgrade – 78 Sheeting, reflective, traffic Naming Your Document Naming an SRM Document

97. 96 Creating Purchase Orders After all data entry in the Purchase Order has been completed, name your shopping cart, select the CHECK button to review and resolve any errors (If your PO references a contract, do not use the CHECK button) Select the ORDER button to submit the Purchase Order for approval and ordering

98. 97 Changing Purchase Orders Locate the applicable Purchase Order –Select the CHANGE icon

99. 98 Changing Purchase Orders Certain changes to a Purchase Order trigger a new release strategy : –Increase in Purchase Order total value –Change from supply to service –Change from standard to non-standard terms and conditions –Deleting a contract reference *Note: Any changes made prior to the purchase order being fully approved will start the approval process over.

100. 99 Changing Purchase Orders Certain changes to a Purchase Order trigger a re-release approval by Comptroller : –Increase in total Purchase Order value –Account Assignment category changes –The 1 st two digits of the G/L change (which changes the account) –Changes in fund account (except 6 th and 7 th digits, which signify the fiscal year) commitment

101. 100 Changing Purchase Orders ITEM DATA tab, PRICES sub-tab Prices from Contract, such as contracts for services with $1.00 line item pricing, can be changed –Select the ADD FURTHER CONDITIONS dropdown menu

102. 101 Select “Price (Manual)” from the list and the screen will automatically refresh with manual pricing fields Changing Purchase Orders

103. 102 Enter the appropriate data in the Amount, Per, and Unit fields Changing Purchase Orders

104. 103 Creating Purchase Orders Reference a Contract w/o a requirement Create the PO in the usual manner by choosing the transaction type and selecting the CREATE button

105. 104 Creating Purchase Orders Reference a Contract w/o a requirement On the Header Data tab, Basic Data sub-tab, scroll down to the Partner Overview area

106. 105 Creating Purchase Orders Reference a Contract w/o a requirement Complete the required fields: Vendor, Requester, Goods Recipient, Ship-To Address, and Location

107. 106 Creating Purchase Orders Reference a Contract w/o a requirement Select the Item Data tab Enter the item’s basic information: Quantity, Unit of Measure, and Price/Per (always allow the default “Material” to remain) –This can be done either from the Item Overview area, or the line item’s Basic Data sub-tab, as shown next Select the line item’s number or DISPLAY icon to show details

108. 107 Creating Purchase Orders Reference a Contract w/o a requirement Enter the item’s basic information: Quantity, Unit of Measure, and Price/Per (if not entered in the Item Overview area) Now add the Contract number, and if applicable, the Line Item number –This can be done either by data entry or by using SEARCH

109. 108 Creating Purchase Orders Reference a Contract w/o a requirement Select the REFRESH button –The Contract information populates the Net Price/Value fields, Incoterm, and Product Category  Note that the UOM is now grayed out and cannot be edited

110. 109 Creating Purchase Orders Reference a Contract w/o a requirement The Item Overview screen also reflects the defaulted Contract information in the Net Price and Product Category fields  Note on the Item Overview screen that like the Item’s Basic Data tab, the UOM cannot be edited

111. 110 Creating Purchase Orders Reference a Contract w/o a requirement To change the UOM, you would need to remove the reference to the contract, and go back to the Item Overview screen. Now you will notice that the space for the UOM is open for change. Make the change, then go back into the basic data tab and re-enter the contract reference.

112. 111 Creating Purchase Orders Reference a Contract w/o a requirement Continue completing the remaining applicable subordinate tabs within the Item Data tab

113. 112 Creating Purchase Orders Reference a Contract w/o a requirement PRICES sub-tab Special Note on the Prices tab: The Contract pricing information has defaulted into the Prices tab, and may be overridden/edited if necessary

114. 113 Creating Purchase Orders Reference a Contract w/o a requirement Check the PO and address any errors that may occur HOLD or ORDER the Purchase Order Continue completing any applicable subordinate tabs within the Header Data tab

115. 114 Deleting Purchase Orders Deleting an SRM PO which was never “Ordered” The Purchase Order was created in SRM and placed on “Hold” (i.e., never “Ordered”) −PO replication to R/3 did not occur, and deletion at the header level can be executed in SRM

116. 115 Deleting Purchase Orders Verify that the Purchase Order does not exist in R/3 Delete the SRM PO at the header level

117. 116 Deleting Purchase Orders Deleting SRM PO after it was “Ordered” The Purchase Order was created in SRM and replicated to R/3 when it was “Ordered” Deletion or Cancelling of the PO will occur at the line item level

118. 117 Deleting Purchase Orders −Delete the appropriate line items using the TRASH CAN icon −Select the ORDER button to replicate the changes to R/3

119. 118 Deleting Purchase Orders −The line items deleted in SRM are replicated to R/3 and identified with TRASH CAN icons −The committed funds are unencumbered

120. Approval Agent Report

121. 120 Approval Agent Report Workflow: A term used to refer to the movement of work from one responsible party to another. SRM’s workflow automatically routes requirements to responsible parties based on established guidelines and approval thresholds.

122. 121 Approval Agent Report Viewing Approval Workflow Do not use the Approval Preview subordinate tab to view approval workflow –COPA utilizes SRM custom workflow –Run Approval Agent Report to view complete approval workflow and the status of each level

123. 122 Approval Agent Report 1.Select My Settings 2.Select the Approval Agent Report option

124. 123 The Display Approval List – PO/BI/CT screen opens: 3.Select the OBJECT TYPE button to display list of possible entries Approval Agent Report

125. 124 4.Select the desired entry from the results list (such as Purchase Contract in this example) 5.Select the CHECKMARK icon to accept Approval Agent Report

126. 125 Approval Agent Report The Display Approval List – PO/BI/CT screen redisplays with the report number populating the object type field: 6.Enter the PO ID, Bid Invitation ID, or the Contract ID in the OBJECT ID field 7.Select the EXECUTE button

127. 126 Approval Agent Report

128. Understanding Requisitioning

129. 128 Understanding Requisitioning The requisitioning process directly impacts the Purchaser Shopping cart line items may have incorrect data which will then require extra work for the Purchaser A purchase order that was auto-generated by the Requisitioner may require change or deletion by the Purchaser

130. 129 Understanding Requisitioning Key steps in the requisitioning process 1.Change Attributes (upon first log-in only, when creating a shopping cart) 2.Choose the catalog or “describe requirement” 3.Select items and add them to the shopping cart 4.Edit the “required on” (delivery) date, if necessary 5.Check the “Proceed using P-Card” box, if applicable, in the Basic Data area

131. 130 Understanding Requisitioning Key steps in the requisitioning process (cont’d) 6.Enter the cost assignment information 7.Enter any applicable Text notes and/or Attachments 8.Assign a Source of Supply, if applicable 9.Name and Order the shopping cart 10.Follow-on document (Solicitation, Purchase Order, or Contract) is created

132. 131 Changing Attributes Understanding Requisitioning

133. 132 Changing Attributes (continued) There are two mandatory attributes that your Requisitioner must set before creating their first shopping cart: Plant Delivery Address Understanding Requisitioning

134. 133 Changing Attributes (continued) When setting the Plant attribute, a list of Values will display for the Requisitioner’s agency. Selecting the radio button next to the appropriate choice will set the attribute. “Add New Line” should never be chosen. Understanding Requisitioning

135. 134 Changing Attributes (continued) The default Delivery Address attribute is set by typing in the assigned delivery address number. Alternate address numbers may also be entered and set as the default. Addresses and corresponding numbers are available online at: www.dgs.state.pa.us/procurement www.dgs.state.pa.us/procurement Understanding Requisitioning

136. 135 Changing Attributes (continued) An optional attribute that many Requisitioners choose to set is the Cost Center attribute. By doing so, the default information will automatically populate into each shopping cart. Note that it can be overridden, if necessary. The Value (cost center) is entered, and Action icon selected to confirm. Understanding Requisitioning

137. 136 Understanding Requisitioning Choosing the Catalog or “Describe Requirement”

138. 137 Understanding Requisitioning In SRM, items can be selected in two ways: Catalogs –Punch-out sites (supplier sites) –Material/Service Contract Catalog (contract items maintained in catalog format) –Internal Goods/Services ( items with Product Numbers from DGS Statewide Contracts) –Warehouse (items available from a COPA warehouse) “Describe Requirement” –Used when an item cannot be found in a catalog

139. 138 Understanding Requisitioning COPA Internal Ecatalog: Used when selecting items from a warehouse (Agency or DGS) Catalog items

140. 139 Understanding Requisitioning Material/Service Contract Catalog (M/SCC): Used when selecting items from DGS contracts available in SRM Catalog items

141. 140 Understanding Requisitioning “Punch-Out” Catalogs: Used when selecting statewide contract items from the Supplier’s catalog site Catalog items

142. 141 Understanding Requisitioning Choosing a supplier with a punch-out catalog displays the catalog in a new window Each site has its own look and feel, but each allows the ability to search and select items for the cart Some sites refer to the cart as a cart, while others refer to it as a requisition or other term

143. 142 Understanding Requisitioning Additional notes about “Punch-Out” Catalogs Punch-out catalogs do not necessarily contain every item specified on the statewide contract, so additional line items may need to be added to the cart using “describe requirement” Supplier sales representatives may not be familiar with the punch-out catalog, and their quotes may not match (in word or item reference) what is in the catalog

144. 143 Understanding Requisitioning Used when the item is not available in any of the catalogs Describe Requirement

145. 144 Understanding Requisitioning X The Requisitioner completes the order form, as shown in this example The Product Type “Goods” is always selected (never select services), and text entry is used for the Description, Internal Note, Quantity, and Price The Unit of Measure and Category are selected from drop-down menus The Required on (delivery) date defaults to +14 days

146. 145 Understanding Requisitioning This area allows the data entry or acceptance of default data for several fields Price, material, G/L code, and other information defaults into SRM and cannot be changed when items are selected from the Ecatalog or M/SCC All information is data entered if the item is not a contract item Basic Data

147. 146 Understanding Requisitioning Cost Assignment information must be entered for each item in the cart Additional cost data is entered on the item’s Detail screen A cart cannot be ordered if the details for an item are absent or incorrect Cost Assignment

148. 147 Understanding Requisitioning The Texts area allows for entry of Vendor Text and Internal Notes The Attachments area supports the attachment of various document types to the shopping cart Documents and Attachments

149. 148 Understanding Requisitioning The Source of Supply (supplier) originates from the item’s (product’s) number/category, if applicable If the supplier is incorrect – and not associated with a contract item – it can be deleted (Note: Order via Describe Requirement if the defaulting vendor on contract is not going to be used) Source of Supply

150. 149 Understanding Requisitioning A search for a different supplier, or contract line item, can be performed The Requisitioner may select the radio button next to the appropriate supplier and assign it (or, leave it unassigned) Source of Supply (cont’d)

151. 150 Understanding Requisitioning From the requisitioning process, a purchase order is generated via one of these methods: Follow-On Documents SRM creates and transmits the Purchase Order to the supplier via fax or electronically Requirement (requisition line item) workflows to the Purchaser to process into a Solicitation or Purchase Order

152. 151 Understanding Requisitioning A Purchase Order can be system-generated only if ALL THREE of the following criteria are met: –The cart’s value is less than $10,000 – AND all items in the cart are from specified catalog suppliers – AND AFTER the cart has received final approval A requirement is transmitted to a Purchaser to process into a Solicitation or Purchase Order if ANY ONE of the following criteria is met: –The cart was created via “Describe Requirement” – OR the cart’s value is more than $10,000 – OR the cart contains any item(s) not from an approved catalog supplier Follow-On Documents (continued)

153. 152 Understanding Requisitioning After a cart has received final approval: Follow-On Documents (cont’d) The Purchase Order, if system-generated, is sent directly to the supplier The requirements which need further processing will be automatically routed to an agency Purchaser or to DGS –Material requirements totaling $20,000 will workflow automatically routed to DGS for solicitation processing ($250,000 for service requirements) –Requirements from a statewide contracts will workflow to the agency Purchaser

154. 153 Enabled suppliers will receive Purchase Orders via XML –Grainger, WESCO, and Dell are currently enabled (7/25/2007) –Process is similar to “autofax” functionality –Thresholds for auto-generated Purchase Orders apply, whether transmission is via autofax or XML Purchase Order attachments do NOT transmit to the vendor via XML Electronic Transmittal of Purchase Orders (XML) Updated 7/25/2007 Understanding Requisitioning

155. 154 For further information and guidelines regarding XML PO Transmittals, please refer to the “XML PURCHASE ORDERS” section located under ADDITIONAL REFERENCE MATERIALS at the end of this document Understanding Requisitioning

156. Assigning & Receiving Requisitions: “The Buyer’s Worklist”

157. 156 Assigning Work SRM Agency Purchaser Select Agency Sourcing Select Redistribute Workload

158. 157 Assigning Work Use Redistribute Workload to assign requirements to specific groups or sourcing professionals –Sends the Requirements to the Buyer’s Worklist This transaction is also used to reassign responsibility for Solicitations, Contracts, and Purchase Orders If you are authorized to assign work to others:

159. 158 Assigning Work In SRM, a shopping cart might contain more than one type of commodity –The line items are listed separately in the Redistribute Workload sourcing area Assign individual line items to a Purchaser –The Purchaser will later select the individual line items to hold or process when they appear in his/her own worklist

160. 159 Assigning Work Finding Potential Assignments Use the checkboxes to identify what type(s) of document to view –Requirements, Purchase Orders, Solicitations (Bid Invitations), and Contracts are available options

161. 160 Assigning Work Finding Potential Assignments Use other criteria from dropdown menus to further refine the type of documents to be viewed –The Purchasing Group defaults to the buyer’s group, so it must be verified or changed –Select “In Process” from the Status dropdown menu

162. 161 Assigning Work Extended search fields are also available After selecting the desired search criteria, select the START button Finding Potential Assignments

163. 162 Assigning Work Making the Assignment The Results List screen displays View a document by selecting it’s document number

164. 163 Assigning Work Making the Assignment Select a document by using the checkbox next to it Select all documents by using the header checkbox

165. 164 Assigning Work Making the Assignment Use the dropdown menu to select the Purchasing Organization and Purchasing Group to which the work is to be assigned

166. 165 Assigning Work Making the Assignment Select the START MANUAL ASSIGNMENT button Do not use the ASSIGN AUTOMATICALLY button

167. 166 Assigning Work Making the Assignment The selected item(s) are displayed De-select any items that are not to be reassigned Select the START ASSIGNMENT button –Alternately, select the BACK TO SEARCH RESULTS button to restart the search

168. 167 Assigning Work Making the Assignment A confirmation dialog box appears –Select the OK button to complete the assignment –If CANCEL is selected, the items are not reassigned

169. 168 Assigning Work Making the Assignment Selecting the OK button displays this MESSAGES screen –Select the UPDATE MESSAGES button to confirm the assignment Note, you may need to select the UPDATE MESSAGES button several times before the document is reassigned. Once you get the green dot stating the assignment is complete, you can move onto the next step.

170. 169 Assigning Work Making the Assignment Select the BACK TO INITIAL SCREEN button to return to the Redistribution of Workload screen

171. 170 Receive the Requisition The Buyer’s Worklist shows pending requirements for the Purchaser to source Buyer’s Worklist

172. 171 Receive the Requisition In the Buyer’s Worklist, a Purchaser can: Process requirements (shopping carts) –Propose and assign sources of supply to the requirement –Create solicitation documents –Create purchase orders After the follow-on document is created, the requirement disappears from the work area

173. 172 Receive the Requisition In the Buyer’s Worklist, a Purchaser cannot: Start work on an assignment and then send it back to the Worklist for someone else to finish, because a follow-on document (solicitation, PO) has been created –The follow-on document must be deleted –Have the Requisitioner re-create the requirement Print out the Worklist –Copy and paste a screenshot of the Worklist into a Word document for review and/or printing

174. 173 Receive the Requisition Select Agency Sourcing Select Carry Out Sourcing Accessing the Buyer’s Worklist

175. 174 Receive the Requisition The Sourcing screen displays all open assignments You will move assignments to your work area Select the FIND tab to locate requirements that apply to your purchasing group Using the Buyer’s Worklist

176. 175 Receive the Requisition Enter your Purchasing Organization and Purchasing Group –To find all assignments for your organization and group, leave other search fields blank Finding Your Assignments

177. 176 Receive the Requisition To narrow the search, add information and/or select EXTENDED SEARCH link Select the START button Items matching your selection criteria appear on a new screen Finding Your Assignments

178. 177 Receive the Requisition Using the checkboxes, select an item you want to add to your work area (to work with now) Select the ASSIGN TO ME button Note that more items may be available on the next page Finding Your Assignments

179. 178 Receive the Requisition To view the original shopping cart and its details and documents, select its link Working with the Assignments

180. 179 Receive the Requisition After assigning item(s), the Work Area screen displays From this screen, it is possible to perform any necessary action on the requirement Working with the Assignments

181. 180 Receive the Requisition Process the documents now… OR If you cannot work on it now, select the REMOVE FROM WORK AREA button to make the requirements available to other sourcing professionals Working with the Assignments

182. 181 Receive the Requisition If a Purchaser has not begun work on the assigned requisition, the Requisitioner is able to remove the request –The Requisitioner must open the requisition and then delete the item(s) and/or shopping cart –This deletion makes the requisition unavailable to the Purchaser Working with the Assignments

183. 182 Receive the Requisition To see if a source of supply (contract) is available for the item, select the requirement’s checkbox Then select the PROPOSE SOURCES OF SUPPLY button Working with the Assignments

184. 183 Receive the Requisition Propose Sources of Supply Use the checkbox to select the desired source of supply To view multiple suppliers, select the COMPARE PRICES button When the source is chosen, select the UPDATE PURCHASE ORDER VALUE button to transfer the source of supply (contract) to the requirement

185. 184 Receive the Requisition Propose Sources of Supply Use the checkboxes to select desired source of supply Select the COPY CHANGES AND BACK button

186. 185 Receive the Requisition Propose Source of Supply If a suitable source of supply is not available, return to this Work Area screen The item can be removed from the work area, if desired

187. 186 Receive the Requisition All solicitations can start from the CREATE BID INVITATION button Purchase orders can also be started directly from the worklist Working with the Assignments

188. Sourcing an Assigned Requirement

189. 188 Sourcing an Assigned Requirement We’re still in the Carry Out Sourcing function of the Sourcing role

190. 189 Sourcing an Assigned Requirement In this example, the shopping cart number is known, so the FIND tab is used to perform an Extended Search.

191. 190 Sourcing an Assigned Requirement The search results display. Select the requirement by placing a checkmark in the box next to the item. In this example, the ASSIGN TO ME button is used. The requirement is moved to the purchaser’s Work Area. Select the item by placing a checkmark in the box next to it’s description. In this example, an IFB will be created by using the CREATE BID INVITATION button.

192. 191 Sourcing an Assigned Requirement The Sourcing – Document Preview screen displays. The Bid Invitation checkbox is automatically selected, and the bid type defaults to “BID Invitation For Bid”. Change the bid type, if necessary. In this example, we are using the default bid type. Select the PROCESS BID INVITATION button to continue processing the Bid Invitation. Select the CREATE BID INVITATION button to create the bid and continue sourcing in the Work Area, as in this example.

193. 192 Sourcing an Assigned Requirement The bid invitation is created and the “Sourcing” screen re-displays. Note the messages below the Work Area. The errors are normal and will be addressed within the bid document. Note the last message, which identifies the newly created document number to the Purchaser.

194. 193 Sourcing an Assigned Requirement From the “Process Bid Invitation” screen, a search for the bid is performed by entering the bid invitation number on the FIND BID INVITATION tab. Under Search Results, the document can be viewed or changed. In this example, we are selecting the CHANGE icon in order to complete the document.

195. 194 Sourcing an Assigned Requirement The “Change Bid Invitation” screen displays, at the Header Data tab, Basic Data sub-tab. Enter necessary data into appropriate fields (or verify the data pulled in from the requirement) on all applicable subordinate tabs. Continue data entry/verification in this manner on the Item Data tab.

196. 195 Sourcing an Assigned Requirement When data entry is complete, select the CHECK button to view and resolve any errors. Select PUBLISH to send the solicitation document through approval workflow.

197. 196 Sourcing an Assigned Requirement After approval, the document will published in accordance with the Type of Publication (Public or Restricted).

198. 197 Generating a PO from an Awarded Bid After our Invitation for Bid was approved and published, the two invited Suppliers submitted their bid responses. The responses were evaluated and one of the bids was accepted. In our example, we will process the awarded response into the Follow-on Document “Purchase Order”.

199. 198 On the Bidder Overview screen, the awarded supplier’s Bid Status is displayed as “Bid under review”. Access the awarded bid by selecting either the bid status link or the CHECK BID icon. Generating a PO from an Awarded Bid

200. 199 The bid is displayed. Note the GENERATE PURCHASE ORDER button is available for selection. Before generating the PO, the Transaction Type for Purchase Order must be chosen. Select the dropdown button to display the transaction types. Once the PO has been generated, the transaction type cannot be changed! Generating a PO from an Awarded Bid

201. 200 In our example, the “Standard PO” transaction type is selected. Now select the GENERATE PURCHASE ORDER button. Generating a PO from an Awarded Bid

202. 201 Generating a PO from an Awarded Bid The system message “Purchase order(s) created”. Select OK. Scroll down to the bottom of the Basic Data screen to see additional system messages, including the Purchase Order document number.

203. 202 Access the “Process Purchase Order” screen, and search for the PO by entering the PO number on the FIND PURCHASE ORDER tab. Under Search Results, the document can be viewed or changed. In this example, we are selecting the CHANGE icon in order to complete the document. Generating a PO from an Awarded Bid

204. 203 The “Change Purchase Order” screen displays. If necessary, enter any additional data into the applicable subordinate tabs on the Header Data tab. Select the Item Data tab and follow the same process. Generating a PO from an Awarded Bid

205. 204 Generating a PO from an Awarded Bid When data entry is complete, select the CHECK button to view and resolve any errors. Then select ORDER to send the Purchase Order through approval workflow.

206. 205 The system message displays confirming that the document was ordered. If no approvals are necessary, as in our example, the document is prepared for output. Generating a PO from an Awarded Bid

207. Liquidating Commitments

208. 207 A shopping cart creates a pre-commitment of funds A purchase order creates a commitment of funds An open PO goes to R/3 (even before approval) and places a commitment on the funds A PO/commitment is locked until either deleted or approved Liquidating Commitments Commitment of Funds

209. 208 If the shopping cart is no longer needed, the cart must be deleted by the Requisitioner Liquidating Commitments If the Purchaser has already assigned items, the items must be put back into the group’s worklist –Deleting the cart liquidates the pre-commitment –Deleting the cart removes the items from the purchaser’s worklist 1.Remove the items from the individual’s or group’s worklist 2.Contact the requisitioner and ask him/her to delete the shopping cart

210. 209 If the purchaser has already created a solicitation document: Liquidating Commitments 1.Locate the solicitation document through the usual search methods 2.Select the CHANGE icon 3.Select the DELETE button 4.Contact the requisitioner and ask him/her to delete the shopping cart

211. 210 Liquidating Commitments If the purchaser has already created a purchase order: 1.Locate the purchase order through the usual search methods 2.Open the purchase order 3.Select the CHANGE icon 4.Select the DELETE button

212. 211 Liquidating Commitments When there will be no more confirmations or invoices, the remainder of the Purchase Order may be liquidated The liquidations will be per line item –“Change” the Purchase Order –On each applicable line item, select the checkboxes to mark that no more confirmations or invoices are expected –Reduce the quantity to what was received, then follow the procedures for completing a cart. –The remaining commitment is liquidated Partial Liquidation of a Purchase Order

213. 212 A shopping cart was created, and a follow-on PO created for equal quantity. BUT, it is decided after the partial receipt that no more delivery/service is expected from the supplier: NOTE: Marking only the GR as final does not liquidate the R3 commitment. Liquidating Commitments In Change Purchase Order, on the Item Data tab, Statistics sub-tab, select the checkboxes to mark the PO for final receipt and final invoice to liquidate the open items and open commitment

214. 213 A shopping cart was created for a quantity of 25, but it is decided later (either before or after creating a partial award) that the remaining balance of the shopping cart is no longer required: –In the sourcing Worklist, the Purchaser selects the cart and marks it as a completed item –The cart is removed from sourcing Worklist and the remaining pre- commitment liquidated “Complete Item” Liquidating Commitments NOTE: Step-by-step instructions to “Complete” an item follow this slide

215. 214 Liquidating Commitments Completing a Shopping Cart The Purchaser locates the shopping cart by using the FIND tab in the Carry Out Sourcing function of the Sourcing menu

216. 215 Liquidating Commitments Completing a Shopping Cart (cont’d) Within the search results, select the Requirement line items that are to be “completed” Select the ASSIGN TO ME button

217. 216 Liquidating Commitments Completing a Shopping Cart (cont’d) Choose the WORKLIST tab Select the REMOVE FROM WORK AREA button Select OK when the resulting message displays

218. 217 Liquidating Commitments Completing a Shopping Cart (cont’d) Select the ACTIONS button for each of the items that you want to “complete”, then the REFRESH button

219. ADDITIONAL REFERENCE MATERIALS

220. 219 Contents  Guidelines for XML Purchase Orders  Approval Levels and Thresholds  Reviewing Procurement Documents  XK03 Display Vendor EUP

221. Guidelines for XML Purchase Orders

222. 221 Purchase Order Overview Guidelines for XML Purchase Orders Updated 7/25/2007 Cancelling a PO prior to order being shipped –Purchaser contacts supplier to have the order cancelled in their system, then deletes the PO line item(s) –Requisitioner cancels cart in SRM NOTE: No cancellation message is distributed from SRM when the order is cancelled

223. 222 Purchase Order Overview Guidelines for XML Purchase Orders (cont’d) Updated 7/25/2007 Changing a PO prior to order being shipped –Purchaser contacts supplier to have the order cancelled in their system, then deletes the PO line item(s) –Requisitioner cancels cart in SRM –Requisitioner creates a new order for the item(s) which contain the updated/changed information NOTE: Existing orders submitted via XML may not be changed and therefore must be cancelled

224. 223 Purchase Order Overview Guidelines for XML Purchase Orders (cont’d) Updated 7/25/2007 Cancelling or Changing a PO after the order has been shipped –Return the order by following the normal return process –If applicable, the Requisitioner creates a new order for the item(s) which contains the updated/changed information

225. 224 Technical failure at PO XML transmission –IES monitors all XML transmissions and are aware of any transmission failures; resolution will occur within IES –IES will notify the Requisitioner only if the failure cannot be resolved Technical failure of XML transmission of invoices –All issues related to XML transmission of invoices will be resolved by the Comptroller and/or Treasury Purchase Order Overview Guidelines for XML Purchase Orders (cont’d) Updated 7/25/2007

226. 225 Purchase Orders for inventory items ( Grainger and WESCO ) are created in R/3, not SRM –No Dell Purchase Orders are created in R/3 SRM Purchase Orders (non-inventory) for Grainger, WESCO, and Dell) should be started using the shopping cart process All XML Purchase Orders – both inventory and non- inventory – must contain a ship-to address and vendor product numbers Purchase Order Overview Additional Information regarding XML PO’s Updated 7/25/2007

227. 226 Purchase Order changes and cancellations made in SRM do not transmit to the vendor Attachments on XML Purchase Orders do not transmit to the vendor Purchase Order Overview Additional Information regarding XML PO’s (cont’d) Updated 7/25/2007

228. Approval Thresholds and Levels

229. 228 Approval Thresholds and Levels Solicitations approval levels Document Type # of Approvals Level of Approvals IFB1Agency Head Approver RFP2 Agency Head Approver and Agency Legal RFQad hocSolicitation Invitation Ad Hoc Approver RFQ IT ITQ2Agency Head Approver, Agency Legal Supplier Pricing Request (SPR) 1Agency Head Approver, DGS approval

230. 229 Approval Thresholds and Levels Agency contract approval thresholds and levels Materials Services Thresholds Approval Workflow Thresholds Approval Workflow $0 – $5,000None$0 – $5,000None $5,000 – $10,000Comptroller$5,000 – $24,999 Agency Head Comptroller Agency Legal $10,000 – $20,000 Comptroller Agency Legal $25,000 and up Agency Head Comptroller Agency Legal Attorney General $20,000 and up Agency Head Comptroller Agency Legal Non-standard terms and conditions require approval from the Office of General Counsel and the Attorney General

231. 230 Approval Thresholds and Levels Standard T&CsNon Standard T&Cs ThresholdsApprovalsThresholdsApprovals $0-$5000None$0-upComptroller $5,000 and upComptroller Agency Legal OGC* Attorney General $0-$5000None$0-$10,000Comptroller $5,000-$10,000Comptroller Agency Legal $10,000 and upAgency HeadOGC Comptroller Attorney General Agency Legal$10,000 upAgency Head Comptroller Agency Legal OGC Attorney General With reference to contract services and materials Without reference to contract MATERIALS ONLY Standard PO approval thresholds and levels for agencies under the Governor’s jurisdiction *OGC = Office of General Counsel

232. 231 Approval Thresholds and Levels Standard PO approval thresholds and levels for agencies under the Governor’s Jurisdiction for services without reference to a contract Standard T&CsNon Standard T&Cs ThresholdsApprovalsThresholdsApprovals $0-$5000None$0-$10,000Comptroller $5,000-$10,000Comptroller Agency Legal $10,000 -$24,999Agency Head OGC Comptroller Attorney General Agency Legal$10,000 upAgency Head $25,000 upAgency Head Comptroller Agency Legal OGC Attorney General Without reference to contract SERVICES ONLY

233. 232 Approval Thresholds and Levels Standard T&CsNon Standard T&Cs ThresholdsApprovalsThresholdsApprovals $0-$5000None$0-upComptroller $5,000 and upComptroller Agency Legal Attorney General $0-$5000None$0-$10,000Comptroller $5,000-$10,000Comptroller Agency Legal $10,000 and upAgency Head Attorney General Comptroller$10,000 upAgency Head Agency Legal Comptroller Agency Legal Attorney General Standard PO approval thresholds and levels for materials or services for independent agencies With reference to contract Without reference to contract

234. 233 Approval Thresholds and Levels Standard T&CsNon Standard T&Cs ThresholdsApprovalsThresholdsApprovals $0-$5000None$0-$5000None $5,000 and upDGS Sec$5,000 and upDGS Sec Comptroller DGS Legal Treasury OGC* Sole Source BoardAttorney General Treasury Sole Source Board $0-$5000None$0-$10000Comptroller $5000-$10,000Comptroller Agency Legal $10,000 upAgency HeadOGC* Comptroller Attorney General Agency Legal$10,000 and upAgency Head Comptroller Agency Legal OGC* Attorney General Sole Source Material PO Sole Source Service PO – no contract reference Sole Source POs for materials and for services without a reference to a contract

235. 234 Standard T&CsNon Standard T&Cs ThresholdsApprovalsThresholdsApprovals $0-$5000None$0 upAgency Head $5000 upAgency HeadComptroller Agency Legal OGC* Attorney General $0-$5000None $5000 upDGS Dir BOP Approval Thresholds and Levels Off-contract and Emergency PO approval thresholds and levels *OGC approval is required for POs with non-standard T&Cs for agencies under the Governor's Jurisdiction; independent agencies do not need this level of approval Off Contract Emergency POs

236. Reviewing Procurement Documents

237. 236 Reviewing Documents Scroll down the BASIC DATA screen to view the Partner Overview –Select the DETAIL icons to review data At the bottom of the BASIC DATA screen you will find the DISPLAY CHANGE DOCUMENTS button At the far end of the subordinate tabs you will find the Versions tab

238. 237 Reviewing Documents The VERSIONS screen on the Header Data tab displays the Version Overview containing all versions of the document Each Version is associated with the procurement document –Select the ITEM number or DETAIL icon to review the corresponding document

239. 238 Reviewing Documents The COMPARE button displays all changes between two selected document versions –Select the checkboxes of the two versions that the purchaser wants to compare

240. 239 Reviewing Documents A separate window opens to display the document in a PDF format –Print the page(s) or view on-screen –The differences in each version is displayed side-by- side

241. 240 Reviewing Documents Text notes will NOT display in the Output Preview, and must be viewed in the Versions: Details

242. 241 Reviewing Documents Repeat the comparison process, if necessary, with other version combinations

243. 242 Reviewing Documents Some versions may not have any differences –A Historical Version is automatically created in the backend system along with the Active Version Version numbers on the Versions sub-tab may not always correspond with the version numbers in the Change Log

244. 243 Reviewing Documents Change Log Expand or limit the amount of data on the screen by selecting options from the Changed Since, Changed by and/or Item Number fields. The options in the Sorted by field allow the Approver to sort the data. Select the BACK TO PURCHASE ORDER link to return to the BASIC DATA sub-tab

245. 244 Reviewing Documents Important Notes regarding the Display Change Documents Log All document changes are recorded in the Change Log, regardless if the document was put on Hold or Ordered Document updates in the backend system are recorded in the Change Log Document Status Indicators are noted in the Change Log, recording all document activity –The Indicator is referred to first, and the Status of the Indicator follows: “Awaiting Approval Indicator: Status is Inactive” (i.e., the document is no longer awaiting approval)

246. 245 Reviewing Documents The Details shows only the data that is different in both versions –Any changes that exist are displayed under the headings “Header Data” and “Item Data” Select the OUTPUT PREVIEW button for ease in viewing the differences in versions

247. 246 Reviewing Documents DataSRM tab Account AssignmentsItem Data tab - Account Assignment subordinate tab for each item AttributesHeader Data tab – Attributes subordinate tab ConditionsHeader Data tab – Conditions subordinate tab JustificationHeader Data tab – Documents subordinate tab Plant (listed as Location in SRM)Header Data tab – Basic Data subordinate tab Purchasing GroupHeader Data tab – Basic Data subordinate tab Statement of WorkHeader Data tab – Documents subordinate tab SupplierHeader Data tab – Basic Data subordinate tab Terms and ConditionsHeader Data tab – Documents subordinate tab Valid to/from datesHeader Data tab – Basic Data subordinate tab ValueHeader Data tab – Basic Data subordinate tab Item Data tab – Basic Data subordinate tab VendorHeader Data tab – Basic Data subordinate tab SRM Tabs: Alphabetical Order

248. 247 XK03 Display Vendor EUP Use this procedure to display vendor information. Use the link www.copacustomhelp.state.pa.us to find the End-User Procedures for this transaction.www.copacustomhelp.state.pa.us Once in COPA Custom Help, select Procurement; select PR Master Data; select Display Vendor Master Data.

249. Thank you! SRM Sourcing Purchase Orders