Using invoices with Purchase Orders allows you employ ordered Parts as soon as they are received and to price the items later when the invoice is received. With this method, you do not have to guess at prices, yet you have immediate use of ordered items. This gives you both flexibility and a more accurate average price for your Parts.
PO Invoicing Details
An Invoicing check box is found on the Purchase Order / Identity Tab–Other Information Section. If you mark the check box, Parts received are considered on a virtual "dock," but they can be issued to Work Orders and Sales Orders or moved using the Part Transfers window before the invoice arrives. The check box does not have to be marked to allow you to add it to the Invoice window; however, certain restrictions apply.
If a user normally creates invoiced Purchase Orders, you can amend the user's Defaults in their User Management record to have the Invoicing check box marked by default. The user still has the option to clear the check box when creating a new PO.
Initially, items received for invoiced purchases are called uninvoiced items. If a price is not final when the Part is issued or distributed, the system uses the best price calculated from the standard methods previously in place in WebTMA.
Uninvoiced transactions cannot be posted until invoice matching has occurred. All uninvoiced lines on transactions have an uninvoiced item indicator to alert users that the line is uninvoiced and cannot be posted.
On-Hand Adjustment records track receipt of an uninvoiced item as well as issuance of the item after receiving. These uninvoiced items are included in the quantity available throughout WebTMA on Work Order, Sales Order, and Part Transfer windows.
When the actual bill is received, go to the Purchase Order window, and click the Invoice link on the Action Menu to create an invoice record. On the WebTMA Invoice window, you can correct any quantities and prices necessary. The invoice must be matched before the Part can be priced throughout WebTMA. Once the invoice is matched, all Part prices are updated using the prices on the invoice. Applicable On-hand Adjustments are made automatically to reflect the match.
Purchase Orders Not Marked for Invoicing
Most invoiced items have the Invoicing check box marked in the Purchase Order / Identity – Other Information Section.
If the box is not checked, the PO is still eligible for invoicing; however, several differences apply to these invoices.
If you have permission to create an Invoice record, you can click the Invoice link on the Purchase Order Action Menu to create an invoice record even though the Invoicing check box is clear.
The invoice records created from Purchase Orders that have a clear Invoicing check box do not execute the process for On-hand Adjustment. In addition, you are not prompted to select the OHA lines.
Also, the matching functionality of the Invoice record is not available when the Invoicing check box is clear, and the Match/Override button on the Accounts Payable Invoice / Variance Tab is hidden.
Invoice is one of the check box options found in Organization > Lookups / Statuses. In Add or Edit mode on this Lookups window, you can mark the Invoice check box to make a specific status available for use with invoice transactions.
The Accounts Payable Invoice and Accounts Receivable Invoice windows each have a Status field. Any of the pre-defined Lookup > Statuses selections with the Invoice check box marked are available to populate this field.
On-hand Adjustments and PO Invoicing
Several on-hand adjustment codes accommodate the uninvoiced state of an item. These codes are used to track items logged on the Receivings window and to facilitate the PO matching process. Most of the invoice codes are system-generated and cannot be used manually. Click the Adjustment Code link on the Action Menu of the On-hand Adjustments window to see a list of all codes.
- 16 - Return Uninvoiced Item (WO) — Return uninvoiced Parts previously issued on Work Order using code 15.
- 18 - Return Uninvoiced Item (SO) — Return uninvoiced Parts previously issued on a Sales Order using code 17.
- 25 - Receive Uninvoiced Item — Created from Receiving window when PO is marked as Invoiced.
- 26 - Positive Adjustment for Uninvoiced Part Transfer — A "Warehouse in" code used when Transferring Parts where insufficient stocked Parts are available in the Warehouse, but a sufficient quantity is on the virtual dock, i.e., received but not yet matched to an invoice
- 15 - Issue Uninvoiced Item (WO) — Uninvoiced items issued to a Work Order. At times, code 5 stocked items are insufficient to complete the number of items issued. The code is used with Quick Post Cost, Quick Post Material, Work Order, and mobile. When items from the virtual dock are issued, code 15 indicates these uninvoiced items
- 17 - Issue Uninvoiced Item (SO) — Uninvoiced items on the “dock” issued to a Sales Order when insufficient stocked Parts are in Warehouse.
- 27 - Negative Adjustment for Uninvoiced Part Transfer — A "Warehouse out" code used when Transferring Parts in cases where insufficient stocked Parts are found in the Warehouse but a sufficient quantity is on the virtual dock, i.e., received but not yet matched to an invoice.
- 29 - Return Uninvoiced Order — Return an uninvoiced Part to the vendor due to damage or error. This return can only be made from the Receivings window.
Receivings and Invoices
If you use the Invoice feature, all PO items received via the Receivings window can be distributed as usual; however, prices cannot be entered on the Receivings window. Partial receipts are acceptable.
The system uses the price recorded on the PO in WebTMA when uninvoiced items are distributed and made available for use. Flyout windows that display quantity available include these uninvoiced items.
When the Vendor's invoice arrives, use the Invoice window to match the receiving record and purchase details.
Prices are locked on the Receiving window only when the Invoicing check box is marked on the Purchase Order window.
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