Purpose
This collection of reference guides is intended for the Entity Financial Manager Approval Group, Procurement Requester – General, Project Manager, and Organization Financial Manager Approval Group to withdraw and edit the requisition before it is fully approved or submitting a change order after a requisition has been fully approved and a purchase order has been generated and clarifying change order limits.
Actions
· Modifying a Requisition Prior to Approval
· Creating a Change Order as a Procurement Requester
· After Requisition Approval and Purchase Order Generation
· Creating a Change Order as a Procurement Requester - Cost Correction
· No Invoices Applied Against a Purchase Order
Terminology
· Purchase Requisition: A request to order goods or services from a supplier.
· Purchase Order: A legal document used by a buyer and sent to a supplier for fulfillment of goods and/or services.
· Change Order: A request submitted by a requester or a central procurement team member to change details on a purchase order before an invoice is matched to the PO. Change orders are not supported for Catalog and Payment Request Requisitions.
· Changes that can be made by a Requester:
· Edit Line Description
· Edit Quantity
· Edit Price
· Edit Deliver-to Location
· Edit Requester
· Edit Chart of Accounts (COA) – Note: Charge information cannot be updated after an invoice has been processed against the purchase order. Instead, complete the Cost Correction Request form.
· Edit Project Details (POETAF) – Note: Charge information cannot be updated after an invoice has been processed against the purchase order. Instead, complete the Cost Correction Request form.
· Add Attachments
· Cancel PO Line
· Changes that Require a ServiceNow Ticket to the Procurement Solutions Team:
· Edit Supplier Site
· Edit PO Communication Method
· Edit Payment Terms
· Edit Freight Terms
· Any changes to converted Purchase Orders
· Encumbrances:
· In Oracle, when a requisition is fully approved and a purchase order is generated, a corresponding encumbrance journal entry is created in the general ledger. The purchase order will encumber the budget related to the COA or POETAF information tied to the purchase order. When an invoice is created in Oracle and matched to a purchase order, the encumbrance will be liquidated.
· From a procurement requester's perspective, it is critical to keep an eye on open Purchase Orders monthly as they represent encumbrances against their unit's budget. As the University continues to explore more stringent levels of budgetary control, any outstanding encumbrances that remain in the system will affect the unit's ability to spend.
· If a procurement requester recognizes that a purchase order has a remaining balance and no future invoices are expected to be matched to the order, the requester should submit a change order to reduce the total amount of the purchase order, consequently relieving the encumbrance and increasing your budget consequently relieving the encumbrance.
Modifying a Requisition: Prior to Approval
1. Input your username and password and select Sign In to access your Oracle account.
2. Navigate and select the Procurement module.
3. Select Purchase Requisitions (New).
4. Select My Requisitions.
5. Enter the Requisition number in the search box.
6. Select the Three Dots on the requisition that needs to be modified.
7. Select Edit.
8. Select Edit. This will remove the requisition from the workflow.
9. Edit the Quantity or Amount.
10. Select the Pencil Icon to view and edit the requisition summary details.
11. Edit the required details and select Update.
12. Select Submit.
You have now completed the process of Modifying a Requisition Prior to Approval.
Creating a Change Order as a Procurement Requester
1. Input your username and password and select Sign In to access your Oracle account.
2. Navigate and select the Procurement module.
3. Select Purchase Requisitions (New).
4. Select My Requisitions.
5. Select the Three Dots on the requisition that needs to be modified.
6. Select Edit.
7. Enter the Change Description and select Edit.
8. Edit the Quantity or Amount.
9. Select the Pencil Icon near the change order summary.
10. Edit the required details including the requisition's requester and/or the deliver to location.
11. Select Update.
12. Select Submit.
You have now completed the process of creating a Change Order as a Procurement Requester.
Creating a Change Order as a Procurement Requester – Cost Correction
1. Input your username and password and select Sign In to access your Oracle account.
2. Navigate and select the Procurement module.
3. Select Purchase Requisitions (New).
4. Select My Requisitions.
5. Search for your requisition.
6. Select the Three Dots on the requisition that needs to be modified.
7. Select Edit.
8. Enter the Change Description and select Edit.
9. To change the billing information at the header level, select the Pencil Icon near the change order summary.
10. Add a Project Number under Project costing and fill out the other POETAF segments or type in the appropriate Chart of Accounts string in the Charge account box.
11. Select Update.
12. Select Submit.
You have now completed the process of creating a Change Order as a Procurement Requester with a Cost Correction – No Invoices Applied Against the Purchase Order.