1. Match Exceptions & Buyer Reports Finance Business Solutions Shaleen Batra Finance Business Solutions – User Support & Training

2. Agenda What is Matching Process? Why do we use Matching Process? Resolving Match Exceptions Why Buyer reports have been designed? Buyer Reports 1.Invoice Entered but no Receipt 2.Invoice Entered with Match Exception 3.PO has been receipted but not invoiced 4.PO has not been receipted or invoiced Knowledge Base Questions

3. What is Matching Process? Purchasing Purchase Order Accounts Payable Voucher Payrun (placed in next payrun) Matching Process (runs every night) Match Exception (payment stopped) Matched 3 ways? YesNo  Purchasing Receipt 

4. Matching Process 3 way matching - is an automated nightly process that compares the Vendor’s Tax Invoice (Voucher) to both the Purchase Order and to the Receipt to check that it “Matches”, i.e. same price and expected quantity. If there are any discrepancies, NS Financials generates a “Match Exception” which needs to be manually followed up and resolved. A payment will not be processed until the match exception is resolved. Voucher (Vendor Tax Invoice) Price & Qty Voucher (Vendor Tax Invoice) Price & Qty Goods Received Qty Goods Received Qty Purchase Order Price & Qty Purchase Order Price & Qty

5. What is Matching? OrderReceiptVendor Invoice Matched OrderReceiptVendor Invoice Not Matched 2 boxes Paper $55.00 1 box Paper 2 boxes Paper $55.00 2 boxes Paper $55.00 2 boxes Paper $55.00 ++ ++ = =

6. Why do we use it? TAX INVOICE RECEIPT PURCHASE ORDER So that we are: Only paying the quoted price for what has been supplied Only paying for the quantity that has been delivered Only paying for goods received in good working order Stopping payments being made if the price or quantity are outside the allowable matching ‘tolerances’ Maintaining controls via manual intervention to verify and approve any discrepancies before paying Vendors

7. Match Exception TAX INVOICE RECEIPT PURCHASE ORDER A Match Exception will be generated where: The amount on the Invoice and the amount on the PO are different (higher OR lower) by more than 10% or $50 (whichever is the lowest). If purchases requiring receipting have not been receipted. Where the total quantity invoiced exceeds the ordered quantity on the Purchase Order And various other reasons: system related, data entry errors, etc.

8. Types of Match Exception Receipting exceptions Pricing exceptions Qty exceptions Other exceptions

9. Resolving Match Exceptions Confirm that:Action to take:Remember: Goods have not been receipted. 1.All goods have been received in working order. 2.Some of the goods were damaged and returned to the Vendor. 1.Receipt all goods received (the match exception will clear overnight). 2.Find out from the vendor if they are going to replace the goods returned. – Do not receipt goods that have not been received. – Advise Accounts Payable of the action you have taken and/or the actions they need to take. Goods have been partially receipted. 1.Balance of goods received but not yet receipted. 2.Balance of goods have not yet been delivered. 1.Receipt the goods received. 2.Find out from the vendor when they intend to deliver the balance of the goods. – Advise Accounts Payable of the action you have taken and/or the actions they need to take. Goods have been receipted twice. 1.Confirm that there is one order and two receipts. 1.Cancel one of the receipts (the match exception will clear overnight). – Advise Accounts Payable of the action you have taken and/or the actions they need to take. Receipting Examples

10. Resolving Match Exceptions Price Examples Confirm that:Action to take:Remember: The order amount does not match the receipted amount and/or the invoiced amount. 1.There was a price increase since the order was dispatched. 2.There was a discount applied after the order was dispatched. 3.We were overcharged. 4.The receipt for the order was entered incorrectly. 5.The invoice amount was entered incorrectly. 6.Matches are not all in the same currency. 1.The vendor should honour the prices as quoted and you should request a credit from the vendor. 2.Advise Accounts Payable of the discount details and request that they pay the invoice. 3.Request a credit from the vendor. 4.Adjust the receipt and advise Accounts Payable of such. 5.Request that Accounts Payable adjust the voucher. 6.Ensure all matches are entered in the same currency. – If the amount to be paid is greater than the amount ordered AND the amount is outside your financial delegation you should attach an approval e-mail from an appropriate approver. – Chartfield distribution details are to be provided for all price increases. – If payment for the PO is in full advise AP to finalise the PO.

11. Resolving Match Exceptions Quantity Examples Confirm that:Action to take:Remember: Quantity on Order, Receipt and Invoice do not match. 1.The quantity ordered was what was receipted. 2.The quantity delivered was what was billed. 3.The receipt was entered correctly. 4.The invoice was entered correctly. 1.If not contact the vendor and resolve. 2.If not contact the vendor and resolve. 3.If not adjust the receipt appropriately. 4.If not advise Accounts Payable to adjust the voucher. – Advise Accounts Payable of the action you have taken and/or the actions they need to take. – If invoice is in full advise Accounts Payable to finalise the Purchase Order. – Attach appropriate approval if necessary.

12. Buyer Reports

13. Why we designed Buyer Reports? Raise buyer awareness – visibility of Open POs Ensure vendor payments are not delayed Reduce duplicated payments Resolve Match exceptions as they occur Reduce no. of open POs - encumbrances Allow Buyers, Buying Network & AP to focus on problematic transactions If the buyer has no transactions with matching criteria, they will not receive an email

14. Buyer Reports

15. The buyer report will consist of the following 4 reports: 1.Invoice Entered but no Receipt 2.Invoice Entered with Match Exception 3.PO has been receipted but not invoiced 4.PO has not been receipted or invoiced Each buyer will receive a report via email – showing only transactions with their buyer ID

16. Invoice Entered but No Receipt The supplier has billed us for your Purchase Order but you have not confirmed that you have received the goods/services 1. ACTION

17. Invoice Entered but No Receipt The supplier has billed us for your Purchase Order but you have not confirmed that you have received the goods/services 1.If you have received the goods/services create a receipt 2.If you have only partially received the goods/services create a partial receipt 3.If you have not received the goods/services: -contact vendor to confirm order will be filled -confirm order is not a duplicate – check vendor POs, receipts and cross reference with report: ‘PO has been receipted but not invoiced’ 1.1. 3.

18. Invoice Entered with Match Exception Buyers will receive details of all Match Exceptions listed on the Buyer Reports Buyers may also check these at any time using the Query: FUP_MATCH_EXCEPTIONS_BY_BUYER. 2.2.

19. Invoice Entered with Match Exception You raised a Purchase Order which failed 3 way matching 2.2. ACTION

20. Invoice Entered with Match Exception You raised a Purchase Order which failed 3 way matching 1.Confirm Receipt details w/ PO and voucher Activity Summary Purchasing > Purchase Orders > Review PO Information > Activity Summary OR Document Status Purchasing > Purchase Orders > Review PO Information > Document Status DO NOT update the Purchase Order with the changed price or extra product lines once it has been invoiced - it will re-dispatch if dispatch method is not changed to Print and cause problems with duplicate orders from Vendors. 2.2.

21. Invoice Entered with Match Exception You raised a Purchase Order which failed 3 way matching Variances in Qty, Price or Vendor ID  Advise AP accordingly &, if necessary :  Contact Vendor for correction to the invoice or shipment of remaining Qty 2.2.

22. Activity Summary

23. PO has been receipted but not invoiced You have received the goods/services that you ordered but we have not been billed for them OR only partially billed. 3.3. ACTION

24. PO has been receipted but not invoiced You have received the goods/services that you ordered but we have not been billed for them OR only partially billed. 1.If you have received the invoice - Fwd to Accounts Payable : invoiceap@unsw.edu.auinvoiceap@unsw.edu.au - Note the PO & Receipt IDs - Incl. your B.Unit & Contact Details 2.Contact the Vendor to request Invoice 3.Confirm order is not a duplicate – check vendor POs, receipts and cross reference with report: ‘Invoice Entered but No Receipt’ 3.3. 1.

25. PO has not been receipted or invoiced You have placed an order (more than 30 days ago) that you have not received nor have we been invoiced for the goods/services 4.4. ACTION

26. PO has not been receipted or invoiced You have placed an order (more than 30 days ago) that you have not received nor have we been invoiced for the goods/services Confirm the order is Valid – 1. Not a duplicate – check vendor POs, receipts 2. Vendor was not paid by CC or other means 3. Cancel the Purchase Order if it is not required 4.

27. Queries Description: List PO Open Encumb by BU Query Name: FUP_PO_OPEN_ENCUMB_BUYER Description: Information on PO Voucher and payment Query Name: FUP_PO_VCHR_PYMT

28. Queries

29. Knowledge Base http://www.fin.unsw.edu.au/NSF_KnowledgeBase/FKB_About.html

30. Knowledge Base NS Financials Knowledge Base > Purchasing http://www.fin.unsw.edu.au/NSF_KnowledgeBase/FKB_PO.html  Purchase Requisitions  Purchase Orders  eProcurement Orders  Match Exceptions Online Training Tool http://www.fin.unsw.edu.au/NSF_KnowledgeBase/OnlineTrainingTool. html Quick Reference Guides http://www.fin.unsw.edu.au/NSF_KnowledgeBase/QRG.html

31. Support & Guidance Buying Network Ext. 53330, Email - Buyingnetwork@unsw.edu.auBuyingnetwork@unsw.edu.au Find My Buying Network - http://www.fin.unsw.edu.au/OurServices/FinancialOperations_Purchasin g_FindBuyingNetwork.html http://www.fin.unsw.edu.au/OurServices/FinancialOperations_Purchasin g_FindBuyingNetwork.html Accounts Payable AP Help - Ext. 53356, Email - aphelp@unsw.edu.auaphelp@unsw.edu.au Payment of Invoices, Email- invoiceap@unsw.edu.auinvoiceap@unsw.edu.au Finance Website – Purchasing http://www.fin.unsw.edu.au/OurServices/FinancialOperations_Purchasin g.html Purchasing Guidelines & Procedures http://www.fin.unsw.edu.au/OurServices/FinancialOperations_Purchasi ng_Guidelines.html http://www.fin.unsw.edu.au/files/PP/Purchase_Order_Procedure.pdf

32. User Support & Training Finance Website – Training https://www.fin.unsw.edu.au/NSF_KnowledgeBase/FKB_Tr aining.html Training Enquiries Ext. 57665, 53550 Email fti@unsw.edu.aufti@unsw.edu.au

33. Questions (Please complete our evaluation form ~ your feedback is important.)