Professional Documents
Culture Documents
Epicor ERP
Purchase Management Course
10.0.700.2
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 1/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Disclaimer
This document is for informational purposes only and is subject to change without notice. This document and its
contents, including the viewpoints, dates and functional content expressed herein are believed to be accurate as of its
date of publication. However, Epicor Software Corporation makes no guarantee, representations or warranties with
regard to the enclosed information and specifically disclaims any applicable implied warranties, such as fitness for a
particular purpose, merchantability, satisfactory quality or reasonable skill and care. As each user of Epicor software is
likely to be unique in their requirements in the use of such software and their business processes, users of this document
are always advised to discuss the content of this document with their Epicor account manager. All information contained
herein is subject to change without notice and changes to this document since printing and other important information
about the software product are made or published in release notes, and you are urged to obtain the current release
notes for the software product. We welcome user comments and reserve the right to revise this publication and/or
make improvements or changes to the products or programs described in this publication at any time, without notice.
The usage of any Epicor software shall be pursuant to an Epicor end user license agreement and the performance of
any consulting services by Epicor personnel shall be pursuant to Epicor's standard services terms and conditions. Usage
of the solution(s) described in this document with other Epicor software or third party products may require the purchase
of licenses for such other products. Where any software is expressed to be compliant with local laws or requirements
in this document, such compliance is not a warranty and is based solely on Epicor's current understanding of such laws
and requirements. All laws and requirements are subject to varying interpretations as well as to change and accordingly
Epicor cannot guarantee that the software will be compliant and up to date with such changes. All statements of
platform and product compatibility in this document shall be considered individually in relation to the products referred
to in the relevant statement, i.e., where any Epicor software is stated to be compatible with one product and also
stated to be compatible with another product, it should not be interpreted that such Epicor software is compatible
with both of the products running at the same time on the same platform or environment. Additionally platform or
product compatibility may require the application of Epicor or third-party updates, patches and/or service packs and
Epicor has no responsibility for compatibility issues which may be caused by updates, patches and/or service packs
released by third parties after the date of publication of this document. Epicor ® is a registered trademark and/or
trademark of Epicor Software Corporation in the United States, certain other countries and/or the EU. All other
trademarks mentioned are the property of their respective owners. Copyright © Epicor Software Corporation 2014.
All rights reserved. No part of this publication may be reproduced in any form without the prior written consent of
EDE8919905
90521-10-9278-58310702
10.0.700.2
Revision: July 25, 2014 2:41 a.m.
Total pages: 105
course.ditaval
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 2/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Purchase Management Course Contents
Contents
Purchase Management Course..............................................................................................8
Before You Begin....................................................................................................................9
Audience.........................................................................................................................................................9
Prerequisites....................................................................................................................................................9
Environment Setup........................................................................................................................................10
Workshop Constraints............................................................................................................................11
Overview...............................................................................................................................12
Application Setup.................................................................................................................14
Company Configuration................................................................................................................................14
Maintenance Programs..................................................................................................................................14
User Account Security Maintenance........................................................................................................14
Workshop - Create New User..........................................................................................................15
Log On as Administrator...........................................................................................................15
Add User..................................................................................................................................15
User Company.........................................................................................................................16
User Security............................................................................................................................16
Review Existing User.................................................................................................................16
Log On.....................................................................................................................................17
Buyer Maintenance.................................................................................................................................18
Workshop - Create Buyer................................................................................................................19
Add Buyer................................................................................................................................19
Authorize Users........................................................................................................................19
Adjust Authorized User List......................................................................................................19
Part Maintenance...................................................................................................................................20
Part Class Maintenance...........................................................................................................................21
Workshop - Assign Buyer to Part Class.............................................................................................22
Supplier Maintenance.............................................................................................................................22
Supplier Detail.................................................................................................................................23
Purchase Points...............................................................................................................................23
Detail.......................................................................................................................................23
Banks..............................................................................................................................................23
Attributes........................................................................................................................................23
Supplier Ratings...............................................................................................................................24
Workshop - Add Supplier................................................................................................................24
Add a Supplier.........................................................................................................................24
Enter the Supplier's Address.....................................................................................................24
Enter a New Purchase Point......................................................................................................25
Enter the Purchase Point Contact..............................................................................................25
Approve the Supplier................................................................................................................25
Supplier Ratings and Attributes........................................................................................................27
Duplicate PO..................................................................................................................................................51
Workshop - Duplicate Purchase Orders...................................................................................................52
Change User...................................................................................................................................52
Duplicate a Purchase Order..............................................................................................................52
Update the Duplicate Purchase Order..............................................................................................52
Approve the Purchase Order............................................................................................................53
Receive Purchase Orders................................................................................................................................53
Workshop - Receive By Line....................................................................................................................54
Enter a Receipt................................................................................................................................54
Receive Job Material........................................................................................................................54
Review the Purchase Order..............................................................................................................54
Workshop - Mass Receipt.......................................................................................................................55
Review Open Purchase Orders.........................................................................................................55
Enter the Receipt.............................................................................................................................55
Perform a Mass Receipt...................................................................................................................55
Review the Purchase Order..............................................................................................................56
This course focuses on the Purchase Management process. This process includes the creation and approval of
purchase orders (POs) and requisitions, managing suppliers and their price lists, working with purchase order
suggestions, and monitoring the purchase order process using related reports and trackers. The advanced
functionality in the Supplier Relationship Management and Purchase Contract modules also aids in managing
purchase orders.
Upon successful completion of this course, you will be able to:
• Complete Purchase Management configuration and maintenance program setup, including adding suppliers
and their price lists.
• Review ratings assigned to a supplier.
• Assign attributes to a supplier.
• Create purchase orders for job material, inventory, subcontract operation, and other material.
• Approve, duplicate, and receive purchase orders.
Read this topic for information you should know in order to successfully complete this course.
Audience
Prerequisites
To complete the workshops in this course, the necessary modules must be licensed and operating in your training
environment. For more information on the modules available, contact your Epicor Customer Account Manager
at EpicorCAM@epicor.com. It is also important you understand the prerequisite knowledge contained in other
valuable courses.
•
Navigation
Designed forCourse - Thisenvironment,
a hands-on course introduces navigational
general navigation aspects of and
principles the Epicor application's
techniques availableuser interface.
in two user
interface modes - Classic Menu and Modern Shell Menu. Workshops focus on each of these modes and
guide you through each navigational principle introduced.
• System Flow Course - This course introduces a basic quote to cash scenario that includes the process from
the initial customer quote to final cash receipts and payment of supplier invoices. This course emphasizes the
series of processes that make up the quote to cash process by using a simple scenario to highlight various
transactions. Your organization may have more complex processing routines than those described in this
course.
• Suppliers Course - This course covers the supplier record and the information located within Supplier
Maintenance.
• Parts Course - This course introduces the building blocks that make up Part Maintenance. It focuses on the
importance of Part Maintenance, required maintenance program setup, key fields, manufactured and purchased
part setup, and commonly used reports and trackers.
• Knowledge Camp Course - This course provides a high level overview of the quote to cash flow through
the Epicor application. You begin with how to create a quote, process it as an order, and fill the order across
production planning and purchasing. The course also covers the manufacturing plan and shipment of parts
to a customer, as well as how to process invoices, enter cash receipts, and generate supplier payments.
Environment Setup
The environment setup steps and potential workshop constraints must be reviewed in order to successfully
complete the workshops in this course.
Your Epicor training environment, in which the Epicor demonstration database is found, enables you to experience
Epicor functionality in action but does not affect data in your live, production environment.
The following steps must be taken to successfully complete the workshops in this course.
1. Verify the following or ask your system administrator to verify for you:
• Your Epicor training icon (or web address if you are using Epicor Web Access) points to your
Epicor training environment with the Epicor demonstration database installed. Do not complete
the course workshops in your live, production environment.
Note It is recommended that multiple Epicor demonstration databases are installed. Contact
Support or Systems Consulting for billable assistance.
• The Epicor demonstration database is at the same service pack and patch as the Epicor
application. Epicor's education team updates the Epicor demonstration database for each service pack
and patch. If your system administrator upgrades your Epicor application to a new service pack or patch,
he or she must also download the corresponding Epicor demonstration database from EPICweb > Support
> Epicor > Downloads and install it. If this is not performed, unexpected results can occur when completing
the course workshops.
• Your system administrator restored (refreshed) the Epicor demonstration database prior to
starting this course. The Epicor demonstration database comes standard with parts, customers, sales
orders, and so on, already defined. If the Epicor demonstration database is shared with multiple users
(that is, the database is located on a server and users access the same data, much like your live, production
environment) and is not periodically refreshed, unexpected results can occur. For example, if a course
workshop requires you to ship a sales order that came standard in the Epicor demonstration database,
but a different
restored user already
(refreshed), completed
then you will not bethis workshop
able and
to ship the theorder.
sales EpicorEpicor's
demonstration database
education was
team has not
written
the course workshops to minimize situations like this from occurring, but Epicor cannot prevent users
from manipulating the data in your installation of the Epicor demonstration database.
2. Log in to the training environment using the credentials manager/manager. If you are logged into your
training environment as a different user, from the Options menu, select Change User.
3. From the Main menu, select the company Epicor Education (EPIC06).
Workshop Constraints
Below is a list of workshops in this course that can be performed only once in each instance of a restored (refreshed)
database. Where applicable, a detailed explanation of the workshop constraints is documented in the workshop
itself.
Purchase Orders
• Workshop - Buy For Job Material
• Workshop - Buy For Inventory
• Workshop - Receive By Line
• Workshop - Review Suggestions
• Workshop - Change Purchase Order Suggestions
• Workshop - Create an RFQ for Job-Related Material
Overview
Use the Purchase Management module to create and monitor purchase orders (POs). Purchases may be for
inventory, job material, subcontract material, or for other material. The destination of these items can be changed
upon their receipt.
Purchase order receipts update the purchase order and history files. This provides a reference to assist in future
purchasing decisions. Purchase order suggestions use the Time Phased Material Requirements Report for
streamlined purchase order creation.
Application Setup
This section reviews Company Configuration and maintenance programs for Purchase Management.
Company Configuration
Company Configuration defines options for companies in the Epicor application. Use these options to customize
the application to best fit each company within your organization. This section reviews configurations and tables
specific to the Purchase Management module.
Modules
Use the Modules sheets to define the default settings for the company.
Purchase
Use the Modules > Materials > Purchase sheet to define the default purchasing options for the Purchase
Management module.
• System Setup > Company/Site Maintenance > Company Configuration
Maintenance Programs
This section of the course reviews the most significant maintenance programs applicable to the purchasing
process. In many cases, not all fields in a program are discussed. If you are interested in learning more about a
specific program, refer to the Application Help.
Use User Account Security Maintenance to enter basic information, security access, and application privileges
for users. Anyone who accesses the Epicor application must be set up in this program.
Users must have a defined user ID, name, and password. In this program, you can also define addresses, phone
numbers, and other company information.
Users are commonly created by the Epicor application implementation team. The System Administrator grants
security permissions based on the user's role in the company.
Menu Path
Navigate to this program from the Main Menu:
• ICE External > Security > User Security
• System Setup > Security Maintenance > User Account Security Maintenance
Important This program is not available in the Epicor Web Access.
To complete this workshop, login to the Epicor application using the Classic Style menu structure.
Log On as Administrator
In order to create a new user, you must be logged into the Epicor application with the appropriate administrative
rights. In this workshop, perform the steps to log in as the System Administrator to create a new user.
1. On the Epicor application Main Menu, from the Options menu, select Change User.
The Log on window displays.
4. Click OK.
Important Before moving to the next step in the workshop, ensure you are in the Epicor Education
company, and in the Main site.
Add User
Navigate to User Account Security Maintenance.
Menu Path: System Setup > Security Maintenance > User Account Security Maintenance
Important This program is not available in the Epicor Web Access.
2. In the User ID field, enter XXX (where XXX are your initials).
5. Click Save.
User Company
1. From the New menu, select New Company.
The Company > Detail sheet displays.
4. Click the right arrow button to move the selected site to the Authorized Sites pane.
9. Click Save.
User Security
1. Navigate to the Options sheet.
6. Click the right arrow button to move the selected site to the Authorized Sites pane.
7. Click Save.
Log On
Once the user has been established, the account needs to be activated. In this task set, log in as the new user to
activate the account.
2. In the User name field, enter XXX (where XXX are your initials) and click OK.
6. Click OK.
You are logged in as the new user.
Buyer Maintenance
Use Buyer Maintenance to create records for buyers responsible for your company's purchasing activities.
A buyer must first be defined as a system user and then added as an authorized user for the Buyer ID.
Buyers are specified in the purchase orders you create.
Buyer Maintenance is a key setup program, as you use it specify approved purchase amount limits for each buyer.
If you use consolidated purchasing, you will also need to create identical buyer records within all of the companies
that use the consolidated PO process.
The Buyer ID is used as a search or filter field for PO Suggestions and Part Class purchasing.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > Setup > Buyer
• Material Management > Purchase Management > Setup > Buyer
• Material Management > Supplier Relationship Management > Setup > Buyer
Add Buyer
1. From the New menu, select New Buyer.
6. Click Save.
Authorize Users
1. From the New menu, select New Authorized User.
6. Click Save.
1. Click Clear.
5. In the User field, select your user name created in the previous workshop.
Part Maintenance
Use Part Maintenance to enter or update part information. Parts can be either purchased items used for raw
materials or subassemblies or manufactured items used to fill sales orders.
• Sites Sheet
Use the Part > Sites sheet to specify site information about the part. This information includes the name of
the site and associated primary warehouse, ordering information, transfer information, manufacturing
information, and purchasing information.
Reporting
• Comments Sheet
Use the Reporting > Comments sheets to enter manufacturing and purchasing comments that are associated
with a part. If you have standard comments that never change (or change only slightly), you only need to
enter them once in the part master file. They displays for specific jobs, quotes, sales orders, or purchase orders,
and can be changed at that time.
• RoHS (Restriction of Hazardous Substances) Sheet
Each part is defined by a Substance Restriction Type and has indicators as to whether the part is compliant.
For each substance, you can enter the percentage of the substance weight. The Compliance Status displays
as Not Applicable, Non Compliant, Compliant, or Exempt. You must enter an exempt date for substances
that are exempt for a part. After this date, the substance can be declared as exempt again for a certain period
or as restricted. You can also enter an exempt certificate identifier.
• Country of Origin Detail Sheet
Use the Reporting > Country of Origin > Detail sheet to designate the countries of origin for this part.
This denotes the specific countries in which the item was manufactured, produced or grown, and the percentage
makeup based on quantity or value of the raw materials
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Inventory Management > Setup > Part
• Material Management > Purchase Contracts Management > Setup > Part
• Material Management > Purchase Management > Setup > Part
• Material Management > Supplier Relationship Management > Setup > Part
• Production Management > Engineering > Setup > Part
• Production Management > Job Management > Setup > Part
• Production Management > Material Requirements Planning > Setup > Part
• Production Management > Quality Assurance > Setup > Part
• Sales Management > Configurator Management > Setup > Part
• Sales Management > Demand Management > Setup > Part
• Sales Management > Order Management > Setup > Part
• Service Management > Field Service > Setup > Part
For CRM users, the Main Menu appears as:
• Customer Relationship Management > Configurator Management > Setup > Part
• Customer Relationship Management > Order Management > Setup > Part
Use Part Class Maintenance to establish part classes for inventory parts. Part classes are not required in the
Epicor application; but use them when it is important to classify inventory materials for reporting purposes. Part
classes are assigned to each part in Part Maintenance.
Example If you have three distinct types of raw materials, establish three part classes to review the stock
status and other inventory reports for the different types.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Inventory Management > Setup > Part Class
• Material Management > Purchase Management > Setup > Part Class
• Production Management > Engineering > Setup > Part Class
• Production Management > Job Management > Setup > Part Class
• Production Management > Material Requirements Planning > Setup > Part Class
• Production Management > Quality Assurance > Setup > Part Class
• Sales Management > Configurator Management > Setup > Part Class
• Sales Management > Order Management > Setup > Part Class
This workshop demonstrates how to assign the buyer to a certain part class. This indicates the responsibility of
this part class and the ability to view purchase order suggestions.
Navigate to Part Class Maintenance.
Menu Path: Material Management > Purchase Management > Setup > Part Class
1. In the Part Class field, search for and select the Steel part class.
Supplier Maintenance
Use Supplier Maintenance to create supplier records. Suppliers are businesses from whom you purchase products
and services. Supplier records are used in several programs and are crucial for creating purchase orders and
Accounts Payable (AP) invoices.
A supplier record must first be on file in the Epicor ERP application before that supplier is available on a purchase
order, or as an approved supplier specific to a part, part class, or customer record.
Supplier records define several options which activate functionality you use throughout the Epicor application.
Use this program to define how taxes are levied and payments are made against purchases through each supplier.
If you buy parts from multiple locations from a supplier, you can define each purchase point within supplier
records. Users can then select these purchase points on purchase orders and other records. Supplier records also
contain information on shipping manifests, so you can indicate how this organization ships part quantities to
your company.
Supplier records are needed for various multi-company processes. A supplier record can be defined as a global
record within a parent company, and then child companies within your organization can link to this record. As
changes are made to a global supplier record, these changes automatically update within the linked child records.
Supplier records can then be used for central payments, inter-company trading, and consolidated purchasing. If
your organization has the Multi-Site license, you can leverage this functionality.
Note Once a supplier record is created, use the Supplier Search window to search for and select a specific
supplier record. The search results can be sorted by Country, ID, Name, or Tax ID Num. The Tax ID Num
is important in some countries as businesses identify vendors through their Tax ID number.
Menu Path
Navigate to this program from the Main Menu:
• Financial Management > Accounts Payable > Setup > Supplier
• Financial Management > Multi-Site > Setup > Supplier
• Material Management > Inventory Management > Setup > Supplier
• Material Management > Purchase Contracts Management > Setup > Supplier
Supplier Detail
Supplier Maintenance > Supplier Detail
Use the Supplier > Detail sheet to establish the Supplier ID, name, and other high level information for the
supplier.
Purchase Points
Supplier Maintenance > Purchase Points
Purchase Points are locations from which the supplier ships material or provides services for your company. Use
the Purchase Points sheet to add, define, format, and maintain alternate addresses for the supplier as well as
specific contacts and manifest information for the other addresses. To review the main remit-to address for a
Supplier, use the Supplier > Address sheet.
Detail
Supplier Maintenance > Contacts > Detail
Use the Contacts > Detail sheet to add, edit, and delete supplier contacts for the supplier ’s main location and
the supplier's purchase points. You can add as many contacts as you need for the supplier ’s main location as
well as the supplier’s alternate locations.
When you enter contacts for a purchase point, these contacts are linked directly to the purchase point. This
location is displayed on the contact’s record within the purchase point field.
Banks
Use the Banks > Detail sheet to define the pay-to location for the supplier. Once set up, the bank account for
this supplier is available within AP Payment Entry. Payments for this supplier are sent to the defined location.
If the supplier uses multiple accounts at the same bank, enter a separate bank record for each account.
Each supplier can be paid electronically. To activate the electronic payment functionality, add a bank to the
current supplier record and then select the Electronic Payments check box on the Supplier > Detail sheet.
Attributes
Supplier Maintenance > Attributes
Use the Attributes sheet to select attributes that apply to this supplier or this supplier contact.
The examples of attributes are:
• ISO9200 Certified
• UL Approved
Supplier Ratings
Use the Supplier Relationship Management (SRM) sheet in Supplier Maintenance to establish ratings
information for a supplier. This information assists in the decision to purchase goods or services from this supplier.
For more information, review the help topics for the Supplier Relationship Management module. This sheet links
functionality from the SRM module to your supplier records.
Add a Supplier
1. New New Supplier
From the menu, select .
2. In the Supplier field, enter XXX (where XXX are your initials).
Free-on-Board
another. (FOB) is the point at which the legal title for transported goods passes from one company to
7. Click Save.
Field Data
Address <your address>
City Minneapolis
State/Prov MN
Postal Code 55555
Country USA
Phone 888-555-1234
3. Click Save.
Field Data
Address <your address>
City Minneapolis
State/Prov MN
Postal Code 55555
Country USA
6. Click Save.
5. Click Save.
5. Click Save.
7. Navigate to the Supplier > Detail sheet and verify the Approved check box is selected.
Field Data
On Time Rating A2
Price Rating A2
Quality Rating B1
Service Rating B1
These ratings indicate that the supplier does not have the best on time rating or price rating, which are the
most important parameters to the buyer. Their quality and service carry the best ratings.
4. Click Save.
2. In the Available Attributes pane, using the Ctrl key, select ISO Certified and UL Approved.
3. Click the right arrow button to move the selected attributes to the Selected Attributes pane.
4. Click Save.
Use Supplier Price List to set up different price lists for a specific part either from one supplier or from a group
of suppliers who all could potentially supply the part. This function is valuable if you want to buy the same
products from suppliers with different price lists. Such lists can account for different currencies, different situations
(for example - promotional, retail, and so forth), or seasons.
Purchasing suggestions use this price list to suggest a price for a part. If a primary supplier has been specified in
the part file, purchasing suggestions will suggest the purchase be made from this supplier, and the price from
the price list table will default into the purchase order (PO).
When a manual PO is entered into Purchase Order Entry, and the supplier, part, and quantity are identified, the
price from the price list defaults into the PO Price field.
Use the Parts > Comments sheet to enter purchasing comments for the internal part number and supplier
specified in the Parts > Detail sheet. Comments entered in this sheet display in programs that display price
breaks.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > Setup > Supplier Price List
Field Data
Minimum Qty 25
Price Modifier 2.5
4. Click Save.
Field Data
Minimum Qty 40
Price Modifier 3.0
7. Click Save.
Field Data
Minimum Qty 60
Price Modifier 3.5
3. In the Supplier field, search for and select the supplier chosen in the previous workshop.
9. Navigate to the Parts > Price Breaks > List sheet, and notice the effective price for a quantity of 40 is
48.50.
10. Exit Supplier Price List, and remain in Purchase Order Entry.
4. Click Save.
9. Review the purchase order, close all windows, and exit Purchase Order Entry.
Menu Path
Navigate to this program from the Main Menu:
• Financial Management > Accounts Payable > Setup > Miscellaneous Charge/Credit
• Material Management > Purchase Management > Setup > Miscellaneous Charge/Credit
• Service Management > Expense Management > Setup > Miscellaneous Charge/Credit
Site Maintenance
Use Site Maintenance to add and update sites available in the current company to define segment security
codes.
You enter the primary information for each site through this program. Items you define include planning parameters
such as Production Preparation Time, Rough Cut Horizon, and the Production Calendar. You can also
define
define the
the cost set, order
transfer whichparameters
determinesthe
thesite
costing method
follows whenused for the
fulfilling partssales
internal manufactured
orders. at the site. Lastly,
When a company is created in the Epicor application, one site record is created automatically by default. This site
record is the default site selected for each part you create within Part Maintenance for the current company.
To add more than one site record through this program, you must license the Multi-Site module. You can then
set up as many sites as you need for each company within your organization.
You define the primary values for each site within Site Maintenance. Launch Site Configuration Control to set
up how each site interacts with other modules. Use this system management program to pull in the site records
you create in Site Maintenance. You can then define the module parameters you need for each site record.
Menu Paths
Navigate to this program from the Main Menu:
• Financial Management > Multi-Site > Setup > Site Maintenance
• Material Management > Inventory Management > Setup > Site Maintenance
• Production Management > Job Management > Setup > Site Maintenance
• Within Inventory Management, you define the warehouses the site uses for shipping, receiving, DMR
Processing, and so on. You also indicate which warehouses are shared with other warehouses. You also define
transfer orders by setting up the definitions for transferring part quantities and the resources involved in
transfer orders. Lastly, you define the serial tracking and cycling counting used for parts manufactured through
each site.
• The Production Management settings involve defining the prefixes used on unfirm, firm, and kanban jobs
at the site. You can also define some production yield parameters.
•
For the Shipping/Receiving
international, FedEx, and UPS functionality,
shipping. Youyou
alsoenter thehow
define various manifests
shipment thisis site
billing uses by
handled forthe
general,
current site.
• You use the Advanced Material Management (AMM) settings to specify default parameters for fulfillment
allocation processing, and to indicate how the site interacts with the Material Request Queue and other
AMM functionality.
• The Time and Expense settings determine whether labor hours and/or incurred expenses entered by employees
require approval by other authorized employees. If approval is required, you also define approver rights to
change or delete transactions, the methods used to approve time entries and expense entries, and the default
workflow groups to use for time entries and expense entries when they are unspecified for employees.
Menu Path
Navigate to this program from the Main Menu:
• System Setup > Company/Site Maintenance > Site Configuration
Important This program is not available in the Epicor Web Access.
The purchasing process begins with a request to buy from sources such as the job, a Time Phase Material PO
Suggestion, or an internal requisition. Purchase orders are then issued for job materials, inventory items, a
subcontract operation on a job, and for non-job related miscellaneous materials.
This section reviews the day-to-day processes that occur in Purchase Management and demonstrates:
• The process flow for each of the Buy For options.
• The creation, approval, and duplication of purchase orders.
• The generation and processing of purchase order suggestions.
• The various ways to receive purchase orders.
Purchase Orders
Use Purchase Order Entry to create and print new purchase orders and make changes to existing orders.
You can create purchase orders (POs) for job material, inventory, subcontract operation, or materials classified
as other. You can also create POs that are not linked to inventory. Leverage this functionality to create POs that
track purchasing costs that are not tied to inventory quantities.
Although you can use purchasing suggestions in the application to create purchase orders, this section begins
by using the standard purchase order entry process to create POs. This is beneficial to understanding the
application's logic and flow and providing insight into the additional fields and features. Purchasing suggestions
are investigated later in the course.
Purchase orders are defined as different types. When creating a new purchase order, indicate its type on either
the Summary or the Header > Detail sheet.
Available PO types include:
• Standard - Use this type to identify a regular purchase order you create to buy company materials.
• Customer Managed - Use this type to identify purchase orders you create for inventory quantities you store
for a customer.
• Supplier Managed - Use this type to identify a purchase order you create for inventory quantities you store
for a supplier.
• Select Other if the purchase is for miscellaneous use. If you selected a part that is set up as non-quantity
bearing in the part master, this option is automatically selected. You cannot change the status to Job Material
or Inventory. Parts with Qty Bearing checked cannot be purchased for Other.
• Select Job Material if this purchase is to fulfill a specific job material requirement.
• Select Subcontract Operation if this purchase is to fulfill a specific job subcontract requirement.
Use Tax
A Use Tax calculation is included as a part of the Avalara sales tax integration. This additional tax is automatically
generated whenever sales taxes are calculated through the Avalara® third-party application.
A Use Tax is a type of excise taxation that exists in the United States. It is assessed due to a purchase of a product
by a resident of the state issuing the tax. In most cases, this occurs when a product is purchased by a company
from a supplier that is located in a different state and that state charges Use Tax. This tax is strictly to account
for usage, storage or consumption of the goods in that state (not for resale), regardless of where the purchase
took place.
This typically occurs when the consumer (buyer) of the products and services did not have a sales tax included in
the purchase transaction by the seller (supplier) on what should have been a taxable purchase. Once this is
assessed, the buyer accrues the liability of the amount of consumer use tax assessed and in turn has to report
and remit the tax to the state and/or local taxing jurisdictions.
Existing functionality within the Epicor application is enhanced to handle Use Tax. On supplier records, the Tax
Liability value determines whether the supplier needs to be included within the Use Tax calculation. On purchase
orders, the Tax Category value can indicate whether a purchased part is eligible for a Use Tax.
The tax engine can then leverage these values to automatically generate the use tax value required for the
purchase order. For more information on the Use Tax functionality, review Application Help.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > General Operations > Purchase Order Entry
• Material Management > Purchase Management > General Operations > Purchase Order Entry
Purchase Advisor
Use Purchase Advisor to answer questions about a particular purchased part. This information helps review
material requirements when quote parts or purchase orders are entered.
Before you use any Tracker, you should review the Tracker Overview topic to learn about its general program
functionality. The overview topic explains the Tracker interface, as well as how to best search for specific records.
The topic also contains definitions of concepts and terms.
Sheets
In the Purchase Advisor, five questions are displayed on sheets, along with a Yes/No answer. The following
questions are included. Review that topic for additional details about each sheet.
Do I have any on hand? The part's total quantity on hand > 0 All warehouse and bin
quantities
Do I have approved suppliers? At least one approved supplier is set up for All approved suppliers
this part
Do I have a supplier price list? At least one supplier price list record is set All supplier price lists and price
up for this part breaks
Menu Path
Navigate to this program from the Main Menu:
• Executive Analysis > Trackers > Purchase Advisor
• Material Management > Purchase Contracts Management > General Operations > Purchase Advisor
• Material Management > Purchase Management > General Operations > Purchase Advisor
This section reviews the process of creating a purchase order for job material. Selecting Job Material in the Buy
For section of the Purchase Order Entry's Lines > Detail sheet allows you to choose a valid job, assembly, and
material sequence based on the selected method for the part. The part must exist in the detail of the job, and
be marked as Purchase Direct to allow purchasing directly to the job.
Job material may be viewed by entering a job in the application and running the Get Details option. This function
pulls in the Method of Manufacture (MOM), which lists the job material. To determine purchasing demand, run
either the Time Phased Material Requirements report or view the results of the Generate Suggestions
process.
The RFQ Needed check box may be selected on the job, or the Create RFQ check box may be selected on a
suggestion that is linked to a job. Either method results in the listing of the part in the Buyer Workbench. The
Buyer Workbench is then used to monitor the RFQ (Request for Quote) process and to create the PO once the
award is made. If pricing is not known at the job level, the RFQ Needed check box may be selected on the material
line. When the chosen supplier provides the job material, the receipt has the transaction code of PUR-MTL, and
the PO price flows directly to the job.
Process Flow
The following diagram illustrates the general process flow when the Buy For Job Material purchase option is
selected.
Field Data
Supplier Gecco Steel
Ship Via Local Truck
FOB Factory
5. Click Save.
Field Data
Job 2279
Asm 0
Mtl 130
4. Click Save.
4. Click Save.
Field Data
Job 2279
Mtl 130
Our Qty 1
3. Click the Get Default button to pull in the default general ledger information for this purchase order line
transaction.
The G/L Account is the WIP Fabricated - Material account.
This section reviews the process of creating a purchase order for inventory. Selecting Inventory in the Buy For
section of the Purchase Order Entry's Lines > Detail sheet allows you to select a valid part. A valid part must
first be defined
quantity in Part Maintenance with a primary warehouse and primary bin. When received, an on-hand
is created.
Inventory items are either purchased or manufactured and either stock or non-stock. In the case of a purchased
inventory item, the purchasing demand may be viewed using the Time Phased Material Requirements report
or by running the Generate Suggestions process. To be purchased for inventory, the part must be Quantity
Bearing, which means that inventory on-hand quantities are reported. If the part is not Quantity Bearing, the
Other purchasing option defaults.
Inventory items may have minimum, maximum, or safety stock requirements attached to them. The Days of
Supply field in Part Maintenance helps to interpret demand covering a certain period of time. If the inventory
item is manufactured, the Materials Requirements Planning (MRP) module or Time Phased Material
Requirements report monitors the minimum on-hand quantities.
All items
PO purchased
price flows using the
to inventory andinventory purchasing
the average and lastoption are received
cost items with the
are updated. PUR-STK
Standard costtransaction
type valuescode. The
do not
change, so any purchase variances affect the respective variance account.
Process Flow
The following diagram illustrates the general process flow when the Buy For Inventory purchase option is selected.
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 41/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Daily Purchase Processing Purchase Management Course
7. In the tree view, select the question Do I have a supplier price list?
Use the Purchase Advisor to answer basic questions about a particular purchased part. This information
helps review material requirements when part quotes or purchase orders are entered.
12. In the Due Date field, enter the date one week from today.
Field Data
Due Date One week from today
Our Qty 50
3. Click the Get Default button to pull in the default general ledger information for this purchase order line
transaction.
The G/L Account is the Inventory - Raw Material account.
1. In the PO Number field, enter the PO number you created previously and press Tab.
4. Right-click in the Part/Rev field and select Open with > Time Phase.
The Time Phase Inquiry window displays.
5. Review the part to verify the PO is listed and the required quantity is correct.
This section reviews the process of creating a purchase order for a subcontract operation. Selecting Subcontract
Operation in the Buy For section of the Purchase Order Entry's Lines > Detail sheet allows you to identify
a valid job with a valid subcontract operation to order against.
The job's method may indicate a specific supplier for a subcontract operation. Additionally, RFQ Needed may
be selected in the operation, meaning multiple quotes are required for pricing. As part of the supplier approval
process, the supplier record may be defined as approved for specific subcontract operations. The supplier may
also have specific pricing for the subcontracted work, as indicated on a Supplier Price List.
A typical subcontract operation includes a period of time and labeled Days Out, indicating the time required by
the supplier to perform the operation. The Subcontract Status report is used to monitor both the outbound
and inbound flow of materials for subcontract operations. When a material is sent to the subcontractor, the
transaction code of MFG-VEN displays on reports and trackers. When the item is received back from the supplier,
the transaction code of PUR-SUB is displayed.
Process Flow
The following diagram illustrates the general process flow when the Buy For Subcontract Operation purchase
option is selected.
Menu Path: Material Management > Purchase Management > General Operations > Purchase Order Entry
Field Data
Supplier Hades Heat Treating
Ship Via Local Truck
FOB Factory
5. Click Save.
Field Data
Job 2340
Asm 0
Opr 50
4. Click Save.
Field Data
Job 2340
Opr 50
Our Qty 50
3. Click the Get Default button to pull in the default general ledger information for this purchase order line
transaction.
This section reviews the process of creating a purchase order for other material. Selecting Other allows you to
create a part on-the-fly. The Other category has very few rules and is reserved for non job-related items or other
supplies. The only required fields are Part Number and Part Description.
While not required, the use of a Part Class is highly recommended. The Part Class carries the GL expense codes
for raw materials and inventory. If no Part Class is selected on the PO line item, the receipt dollars may affect the
suspense accounts.
An exception to the scenario above is an existing Quantity Bearing part. Quantity Bearing indicates that on-hand
quantities for this part are maintained in inventory. In this case, the Other purchase option defaults for this line
item. The transaction code for receipts entered using the Other purchase option is PUR-UKN.
Process Flow
The following diagram illustrates the general process flow when the Buy For Other purchase option is selected.
A scale has malfunctioned at Dalton Manufacturing and must be replaced to continue the job. In this workshop,
create a purchase order to replace the scale.
Navigate to Purchase Order Entry.
Menu Path: Material Management > Purchase Management > General Operations > Purchase Order Entry
Field Data
Supplier Nordstrom Supply
Ship Via Local Truck
FOB Factory
5. Click Save.
Field Data
Part/Rev XXX-46309 (where XXX are your initials)
Description XXX Scale (where XXX are your initials)
Class Shop Supplies
Our Qty 1
Unit Price 126,000
Due Date one week from today
4. Click Save.
Field Data
Due Date One week from today
Our Qty 1
3. Click the Get Default button to pull in the default general ledger information for this purchase order line
transaction.
The G/L Account is the Shop Supplies account.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > General Operations > Purchase Order Entry
• Material Management > Purchase Management > General Operations > Purchase Order Entry
PO Approval
Use PO Approval to work with purchase orders that must be reviewed by a buyer due to another buyer exceeding
his/her purchasing limit. This program is valuable if you want to reject or accept a request as well as enter specific
details about the overall decision.
Tip Once a consolidation purchase order is approved, the information regarding the specifics of the
purchase order releases are sent out to the various companies. This disbursement is important for each
company for receipt entry purposes.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > General Operations > PO Approval
Howard Low's approval is required on the purchase order submitted for purchase of a $126,000 scale for Dalton
Manufacturing. In this workshop, perform the approval process by Howard Low for your purchase order.
Change User
Log on as Howard Low.
Field Data
User name hlow
Password hlow
3. Click OK.
1. In the tree view, select the PO number you created in the Workshop - Buy For Other.
1. In the PO Number field, enter the PO number created in the Workshop - Buy For Other and press Tab.
Duplicate PO
Use the Duplicate option to create a new purchase order by copying information from an existing purchase
order. This function saves you time if you have a new purchase order that is similar to an existing one.
Tip The new purchase order is automatically numbered using the next available PO number.
Dalton Manufacturing is ordering office materials that have been ordered before. To save time, you will duplicate
a previous purchase order and update the quantities.
Change User
1. On the Main menu, from the Options menu, select Change User.
Field Data
User name <your user name>
Password epicor
3. Click OK.
1. In the PO Number field, enter the purchase order from Workshop - Buy For Inventory and press Tab.
5. In the Due Date field, enter the date one week from today and click OK.
7. Click Save.
3. Click Save.
7. Click Save.
Use Receipt Entry to enter the receipt of all inventory and non-inventory materials and subcontract parts.
Receipt line items are either purchase order receipts (recorded against a purchase order) or miscellaneous receipts
(material received that is not associated with a purchase order). Receipt information updates the purchase order,
if necessary, and creates transactions to update inventory or job quantities and costs.
The
date,purchase order
and other basicreceipt consists of a header and line(s). The receipt header includes a packing slip number,
information.
Invoice receipts cannot be updated. Optionally, receipts can be received to inspection. Receiving may elect to
route items through inspection if items appear damaged. To complete the inspection, use Inspection Processing.
This functionality requires the Quality Assurance module.
The purchase order is created to receive parts to:
• Job - Creates a WIP (Work In Process) transaction of PUR-MTL.
• Inventory - Creates an inventory transaction of PUR-STK.
• Subcontract - Creates a WIP transaction of PUR-SUB.
• Other - Receipt to an expense creates a transaction of PUR-UKN.
Receiving is sometimes handled in the office, but it is typically handled on the dock. Because the process is creating
financial transactions, it is important to have procedures in place to ensure accuracy and timeliness.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Shipping / Receiving > General Operations > Receipt Entry
Dalton Manufacturing is receiving the purchase order containing a job material line. In this workshop, you will
be receiving the corresponding inventory line on the purchase order.
Important If you were unable to complete Workshop - Buy For Job Material, you will not be able to
complete this workshop. Contact your system administrator to refresh your demonstration database.
Enter a Receipt
Navigate to Receipt Entry.
Menu Path: Material Management > Shipping / Receiving > General Operations > Receipt Entry
2. In the PO field, enter the PO number you created in the Workshop - Buy for Job Material and press Tab.
4. Click Save.
A new receipt is created using the supplier ’s packing slip number and is matched to the purchase prder and
the supplier name. When all three of these values are known, the lines pull into the receipt with their
corresponding transaction codes.
2. In the PO/Line field, search for and select the first PO line (1) and press Tab.
1. In the PO Number field, enter the PO you created in the Workshop - Buy For Job Material and press Tab.
3. Right-click in the Part field and select Open With > Part Transaction History Tracker.
The mass receipt functionality allows you to receive multiple lines on a purchase order at one time. The purchase
order created for shop supplies has many lines. The Mass Receipt option allows the receipt of all the lines at one
time
allowsand assumes
changes the quantity.
to the lines are received complete. If some of the lines are not received complete, the listing
2. In the To field, enter the date three days from today's date.
3. In the Report Type section, select Both.
4. Select the PO created for the supplier, Nordstrom Supplies, and click OK.
7. Click Save.
7. Click Save.
1. In the PO Number field, enter the PO received in the previous workshop and press Tab.
Menu Path
Navigate to this program from the Main Menu:
• Executive Analysis > Trackers > Purchase Order Tracker
• Financial Management > Accounts Payable > General Operations > Purchase Order Tracker
• Material Management > Inventory Management > General Operations > Purchase Order Tracker
• Material Management > Purchase Contracts Management > General Operations > Purchase Order Tracker
• Material Management > Purchase Management > General Operations > Purchase Order Tracker
• Material Management > Shipping / Receiving > General Operations > Purchase Order Tracker
• Material Management > Supplier Relationship Management > General Operations > Purchase Order Tracker
• Production Management > Job Management > General Operations > Purchase Order Tracker
• Production Management > Quality Assurance > General Operations > Purchase Order Tracker
• Production Management > Scheduling > General Operations > Purchase Order Tracker
• Sales Management > Quote Management > General Operations > Purchase Order Tracker
For CRM users, the Main Menu appears as:
• Customer Relationship Management > Quote Management > General Operations > Purchase Order Tracker
3. Click Search.
Purchase
and defineContracts Management
specific delivery provides
schedules a tool
for items for purchasing
purchased managers
on a regular to create contract purchase orders
basis.
Requisitions
Use Requisition Entry to add, update, or delete a requisition. A requisition is a request for material from a
supplier, and it can be used to acquire parts for a job or miscellaneous items.
Header Sheet
Use the Header sheet to enter requisition heading information when creating or making changes to a requisition.
The heading includes general information about the requisition such as the requestor, requisition date, and
ship-to information.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > General Operations > Requisition Entry
Use Requisition Actions Maintenance to assign actions to a requisition in the course of its dispatch (approval).
The actions defined are used to guide the purchase requisition dispatch (approval) process and include:
• Price approval
• Specification approval
• Budget or supervisor approval
• Send to purchasing
Navigate to Requisition Actions Maintenance.
Note This course only does not cover all of the purchase requisition functionality for Epicor ERP. For more
information refer to the Purchase Requisition course and application help.
Menu Path: Material Management > Purchase Management > Setup > Requisition Actions
3. In the Action Description field, enter XXX Price Approval (where XXX are your initials).
5. Click Save.
8. Click the right arrow to move Brian Howard to the Selected Users pane.
9. Click Save.
1. From the tree view, select XXX Price Approval (where XXX are your initials).
A department at Dalton Manufacturing needs to enter a requisition for a new voltage meter. A GE model XXX-772
appears in the Glengarry Plating catalog for $397.50. In this workshop, create and define the requisition
information for the voltage meter.
Navigate to Requisition Entry.
Menu Path: Material Management > Purchase Management > General Operations > Requisition Entry
5. Click Save.
Field Data
Part/Rev XXX-772 (where XXX are your initials)
Description XXX GE High Voltage Meter (where XXX are your initials)
Class Shop Supplies
Our Qty 1
Supplier ID GLEN (Glengarry Plating)
Unit Price 397.50
5. Click Save.
5. Click Save.
Nancy Johnson is one of the specification approvers at Dalton Manufacturing. She is typically logged into the
Epicor application on her computer when approving a requisition. The Set Requisition User functionality allows
a computer at a different location to temporarily set the requisition user. Nancy can then quickly approve a
requisition at that location.
Navigate to Requisition Entry.
Menu Path: Material Management > Purchase Management > General Operations > Requisition Entry
6. Click OK.
7. Click Save.
5. Click OK.
The requisition no longer displays in the To Do List window.
7. Click Save.
Purchase orders can be created based on purchase order suggestions. This section reviews the generation, editing,
and processing of purchase order suggestions.
You must be run this process before using New PO Suggestions and Change PO Suggestions. Only one user
can run this function at a time. When you run Generate Purchase Suggestions:
• Use the Selection sheet to select the parameters for the process.
• Use the Filter sheet to select the sites to include in the generation process.
For more information on how to review the status of the Generate Purchasing Suggestions process, review the
System Monitor topics in the Application Help.
Menu Path
Navigate to this program from the Main Menu:
•
Material Management > Purchase Contracts Management > General Operations > Generate Suggestions
• Material Management > Purchase Management > General Operations > Generate Suggestions
Menu Path
You can launch this program from the Main Menu in these locations:
Menu Path: Material Management > Purchase Contracts Management > General Operations > Generate
Suggestions
Important The Generate Purchase Order Suggestions process should only be run by one person at a
time on a shared database.
5. Click Process.
New PO Suggestions
Use New PO Suggestions to process purchase order (PO) suggestions created by the Generate Suggestions
process.
Launch the Search function to pull in PO suggestions for a specific buyer or the buyers. You can also specify a
site and cut-off date for the suggestions. Use the various sheets and Actions menu options in the program to
add and modify information before generating new purchase orders.
Generate Suggestions
If
search. runs again while this program is open, clear the data and re-populate it with another
If you have the Epicor application set up to handle consolidated purchasing, are logged into the central purchasing
company, and ran Generate Suggestions with full regeneration with the Run Consolidated Purch check box
selected, you can use this program to review and process PO suggestions from other companies.
The Generate Purchase Order and Generate RFQ, and Send Forecast programs use the unit of measures
specified in the Our Quantity and Supplier Qty fields to create forecasts,and purchase orders, or Requests For
Quotes (RFQ).
Menu Path
Navigate to this program from the Main Menu:
Suggestion - Detail
New PO Suggestions > Suggestion > Detail
Use the Suggestion > Detail sheet to review and modify the details of suggestion from the program's tree view,
Material List, or Subcontract List.
Tip If you use the Advanced Production module, the suggestions you generate pull material requirements
from your current batch jobs. Any source jobs used to create these batch jobs are ignored. For more
information, read the Advanced Production Module topic the Application Help.
Change User
This allows you to see all suggestions.
1. On the Main menu, from the Options menu, select Change User.
Field Data
User name manager
Password manager
3. Click OK.
1. Click Search (binoculars).
4. Click Search.
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 68/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Purchase Management Course Specialized Purchase Processing
Change PO Suggestions
Use the Change PO Suggestions program to change existing purchase orders based on purchasing suggestions
created by the Generate Purchasing Suggestions process.
When purchase order suggestions are processed, the application evaluates all time phase information and
recommends changes to existing purchase orders such as:
• Expedite - Used when parts are not scheduled to arrive to meet the need by date.
• Postpone - Used when parts are scheduled to arrive before their need by date.
• Cancel - Used when the demand created no longer exists.
• Reduce - Used when a lower quantity is needed at the need by date of the purchase order.
• Increase - Used when the quantity required is not high enough to meet the demand on the need by date on
the purchase order.
You use this program to make changes on both consolidated purchase orders and intercompany purchase orders
(ICPOs).
If you make a change to a purchase order release that is tied to a consolidated purchase order initiated by the
central purchasing
change suggestion.company, your change is sent back to the central purchasing company as a purchase order
Besides making changes to an ICPO, you can cancel a specific detail line on these records. If the related order
release is not linked to a job record, the order release is void. However, if the related order release is linked to a
job, the order release quantity is set to zero and a manufacturing suggestion is created for the related job record.
For more information, review the Incoming ICPO Suggestions help topics.
If the Generate Purchasing Suggestions process is run again while this program is open, you need to clear
the data in this program and re-populate with another search.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > General Operations > Change PO Suggestions
You can launch this program from these additional locations:
• Purchase Order Entry - This program is located on the Actions menu.
• Buyer Workbench - You can launch this program if the Supplier Relationship Management module
license code is installed.
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 70/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Purchase Management Course Specialized Purchase Processing
Buyer Workbench
Use Buyer Workbench to generate and manage requests for quotes (RFQs) and purchase orders from a central
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Supplier Relationship Management > General Operations > Buyer Workbench
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 72/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Purchase Management Course Specialized Purchase Processing
Update a Buyer
Navigate to Buyer Maintenance.
Menu Path: Material Management > Purchase Management > Setup > Buyer
Important If the System Manager is already selected as the default buyer, use this workshop as a verification
of the authorization process for a buyer.
Generate an RFQ
Navigate to the Buyer Workbench.
Menu Path: Material Management > Supplier Relationship Management > General Operations > Buyer Workbench
2. In the tree view, expand the RFQ's > House Account > Suggestions node and select CVB-TEF.
Click .OK
RFQs The
toapplication looks for approved suppliers requesting quotes on this part, but it is not a requirement.
this message.
4. Click Save.
5. Navigate to the Parts > Price Breaks > List sheet and compare the two price breaks.
4. Close the RFQ Decision Wizard, return to the Buyer Workbench, and click Refresh.
The new PO displays in the PO's > Open PO's > Today sheet.
Reports
This section is an overview of reports that relate to the Buyer Workbench and its processes.
Supplier Connect
Use the Supplier Connect Database Configuration to connect the application database with Supplier Connect.
This window is a necessary to receiving web orders.
Supplier Connect provides companies with an understanding of supplier relationships and offers a more effective
mechanism to manage suppliers.
Through this program, suppliers have access to the information necessary to provide the highest level of service.
More importantly, as a company, a comprehensive view of all suppliers becomes available to analyze and evaluate
performance for strategic sourcing decisions.
Supplier Portal
This portal gives suppliers the ability to manage relationships with companies over the web. Vendors have online,
instantaneous, real-time, secure access. This is a powerful tool for reducing supply chain inefficiencies by responding
to RFQs, acknowledging or rejecting purchase orders, requesting changes to purchase orders, account
management, reviewing inventory levels, checking payment, as well as drilling down to all associated information.
Supplier Workbench
The Supplier Workbench allows suppliers online access to important company information, including the tracking
of RFQs and POs.
Purchase Contracts
Use Purchase Contracts to purchase inventory quantities on a recurring basis. You can establish delivery schedules
to regularly re-issue material against which recurring deliveries are made.
The Purchase Contracts Management (PCM) module is useful for purchasing inventory items on a recurring basis.
Purchase Contracts convert the requirements calculated by the Generate PO Suggestions process into delivery
schedules.
The following graphic displays where purchase scheduling occurs in the purchasing process flow.
Periodicity Codes
Periodicity Codes dictate the required intervals for deliveries to be made for a scheduled item. These codes are
attached to a part schedule to create the delivery frequency.
Part Schedule
This is where the delivery schedule for a part is set up. Use this area to select a production calendar for the
schedule and suppliers that should be attached to this part's delivery schedule.
Generate Contract PO
In order for a part's delivery schedule to be automated, a contract PO needs to be established and attached to
a specific part schedule. The part selected on the part schedule must be a line on the contract PO. These line
items automate purchase schedules with delivery dates, prices, and corresponding quantities.
3. In the Description field, enter XXX Stainless Steel (where XXX are your initials).
7. Click Save.
9. Navigate to the Part > Sites > Warehouses > Primary Bin sheet.
Field Data
Min On-Hand 1000
Field Data
Max On-Hand 5000
Safety Stock 500
4. Click Save.
Seaside Steel is now an approved supplier for part 001-XXX.
6. Click Save.
Use Supplier Periodicity Maintenance to maintain periodicity codes, either for a site or a supplier in the site.
The Epicor application uses these codes to determine scheduling rules for the supplier or site assigned to the part
during purchase schedule generation. You generate purchase schedules in Generate Purchase Schedules
process, or by selecting the Include Contract PO Parts and Run Generate Purchase Schedules check boxes
in Generate Purchase Suggestions or Process MRP.
Periodicity codes dictate the required intervals for deliveries being made for a scheduled item. These can be set
up on a company basis, site basis, or site and supplier basis. There are six available periodicity codes:
• Daily - Deliveries on a daily schedule.
• Semi-Weekly - Two delivery dates per week, based on the definition of a Week period (see Weekly).
• Weekly - Weekly delivery schedule on a specific day of week. A Week period is always a Sunday thru a
Saturday, as defined by the system calendar format. The Epicor application uses this period definition universally
in the Purchase Contracts module to determine dates, weeks, months.
• Weekly Not Last Week of the Month - Same as Weekly, however, it excludes the last week of the month.
This is based on the definition of a Week period (see Weekly) and a Month period (see Monthly).
• Monthly - Specific day of the week and the week number for monthly deliveries (for example, second Thursday
of each month). The Epicor application determines a Month period by the first occurrence of a Sunday in the
calendar month (Monthly Period Start). The end day of the period of a month (Month Period End) is the
Saturday prior to the first Sunday in the next calendar month. For example, the demand for March 2013 starts
on March 3 and ends on April 6.
• Nth Day of the Month - Specific delivery date each month, based on the definition of a Month period (see
Monthly). For example, the 15th of every month.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > Setup > Supplier Periodicity
In this workshop, define periodicity codes to establish a scheduled delivery date for supplier, Seaside Steel.
Navigate to Supplier Periodicity Maintenance.
Menu Path: Material Management > Purchase Contracts Management > Setup > Supplier Periodicity
1. Click New.
4. In the Weekly Forward pane, select the Rules check box, and in the Delivery Day field, select Thursday.
5. In the Nth Day of the Month pane, select the Rules check box, and in the Day of the Month Delivery
field, enter 16.
Use Part Schedule Maintenance to establish part schedules. Every inventory part ordered through the Purchase
Contract functionality must have an established part schedule.
You define the following part schedule information:
• Period 1, Period 2, working Calendar days, Period Shift Days and Minimum Quantities settings.
• Six scheduling period settings ( Daily, Semi-Weekly, Weekly, Weekly Not Last Day of the Month, Monthly,
and Nth Day of the Month) are available that specify when supplier deliveries should be made for a purchase
contract for a particular part. You can select these period settings individually for Period 1 and Period 2
calculations.
• Supplier share percentages the Epicor application uses to create schedules from related purchase suggestions.
• A forecast of when the schedule should be created and how far in advance purchase schedules must be
converted into purchase order releases.
When you use the Purchase Contracts module, you first generate purchase order suggestions resulting in suggested
demand records on a particular due date. You then generate purchase schedules for these suggestions. When
you do this, the Epicor application uses the duration of the associated contract purchase order and Period 1,
Period 2, working Calendar days, Period Shift Days, Minimum Quantities settings (as defined in Part Schedule
Maintenance) to determine how the related demand requirements should be slotted. It combines these settings
with the associated Supplier Periodicity settings to determine the resulting part schedule per supplier.
Example You define a purchase schedule for Part A in a unit of measure of EA (Each), Periodicity 1 of
Daily, with a minimum quantity of 120 EA, and Periodicity 2 of Monthly, and a minimum quantity of 400
EA. You also create a purchase schedule in a unit of measure of Box (BX), with a Periodicity 1 of Nth Day
of the Month, a minimum quantity of 20 BX, and a Periodicity 2 of Monthly Forward and a minimum
quantity of 500 BX.
The different part schedules are not summarized if there is a contract for a unit of measure of Box and
another unit of measure of Each. Two suggestions and purchase orders are created (one for BX, and the
other for EA). The UOM codes defined in the contracts are used as the Our Quantity UOM code and as
the Supplier Quantity UOM when creating PO suggestions.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > Setup > Part Schedule
3. In the Part field, enter the part number created in the previous workshop (001-XXX) and press Tab.
4. Detail
Navigate to the sheet.
5. Verify the Purchase Schedule Active check box is selected.
Field Data
Period 1 Weekly
Min. Quantity (Period 1) 10
Period 2 Nth Day of the Month
Min. Quantity (Period 2) 50
Minimum Period 1 Shift Days 3
Minimum Forward Span 1
Field Data
Schedule Length 180
Order Cover 180
Print Length 180
Schedule Firm 180
These entries represent the length of the contract schedule in days. If the value in any of these fields is zero,
the schedule can be changed.
3. Click Save.
3. In the PO field, enter XXXX (where XXXX are the last four digits of your phone number).
4. In the Need By field, enter the date two weeks from today.
5. In the Ship By field, enter the date two days before the Need By date.
6. Click Save.
10. In the Part/Rev field, enter 001-XXX (where XXX are your initials) and press Tab.
3. In the Need By field, enter the date one month from today.
4. In the Ship By field, enter the date two days before the Need By date.
9. Click Save.
2. In the Part/Rev field, enter 001-XXX (where XXX are your initials) and press Tab.
7. Click Save.
Use Generate Purchase Schedules to produce purchase schedules. You can then review and manually adjust
the resulting purchase schedules in Purchase Schedule Approval before formal approval.
Before you run Generate Purchase Schedules, use Generate Purchasing Suggestions process to produce
suggestions for scheduled parts. The Generate Purchase Schedules process uses this data to generate the applicable
purchase schedules. When running Generate Purchase Schedules, use the Selection sheet to select the parameters
for the process, and the Filter sheet(s) to select the specific records to include for the process.
You can also generate purchase schedules in:
• Generate Purchase Suggestions, through selection of the Include Contract PO Parts and Run Generate
Purchase Schedules check boxes. If you select these check boxes, generated suggestions include purchase
schedules.
• Process MRP, through selection of the Include Contract PO Parts and Run Generate Purchase Schedules
check boxes.
Regardless of the program you use to generate purchase schedules, the Epicor application uses the following
parameters to determine how the related demand requirements should be slotted:
• Duration of the associated contract purchase order.
• Period 1, Period 2, working Calendar days, Period Shift Days and Minimum Quantities settings as defined in
Part Schedule Maintenance for the associated part schedule record.
• It then combines the settings above with the associated Supplier Periodicity settings to determine the resulting
part schedules per supplier.
Tip For more information about the logic used in purchase schedule generation, view the Generate Purchase
Schedules - Flowchart and Purchase Schedule Generation - Parameters and Calculations topics in the
Application Help.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > General Operations > Generate Purchase Schedules
4. Click Process.
2. Click Process.
1. Click Search (binoculars).
The Purchase Schedule Search displays.
3. Select the purchase order created in the Workshop - Create Contract Purchase Order.
4. Navigate to the Schedule > Detail sheet to review the details of the proposed schedule.
5. Click the Approve Schedule button.
The following lists the reports and trackers important to Purchase Contracts.
Report
The Purchase Contract Schedule Report provides a breakdown of existing Contract POs. This is useful in
viewing schedule requirements for contract POs.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > Reports > Purchase Contract Schedule
Tracker
The Purchase Contract Schedule Tracker provides contract quantities, contract dates, and current schedule
information regarding purchase contracts.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Contracts Management > General Operations > Purchase Contract Schedule
Tracker
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 86/105
8/9/2019 Epicor ERP Purchase Management Course 10.0.700.2
Purchase Management Course Specialized Purchase Processing
Any duty amount is calculated based on tariffs maintained on commodity codes. If an invoice for a cost item is
not available before goods are received, an estimate amount may be used instead. The receipt of goods is has
two-phases, for example, customer shipments; first the records are entered and saved and later the receipt is
marked as received (and costed). When the receipt is marked as received (and costed), the quantities and costs
update in the inventory.
Several setup programs must be completed in order to use Landed Cost functionality.
Country Maintenance
Use Country Maintenance to enter country records. A country record includes the ISO code, currency, language,
tax region, default sales taxes, and other country-specific settings.
If your company does business with customers and suppliers in other countries, define country-specific information
in Country Maintenance. This information defaults to all customers and suppliers in the country. It also defaults
to customer ship-to addresses and supplier purchase points.
The country record determines default options for currency, language, and printed address formats. For European
countries, it also configures international border crossing requirements.
The country record is optional if you primarily conduct business within one country.
When a country is not selected, the customer Sold To and Ship To records use the default country setup for
the company.
Menu Path
Navigate to this program from the Main Menu:
• Financial Management > Accounts Payable > Setup > Country
• Financial Management > Accounts Receivable > Setup > Country
• Material Management > Purchase Management > Setup > Country
• Sales Management > Customer Relationship Management > Setup > Country
• Sales Management > Order Management > Setup > Country
• Sales Management > Quote Management > Setup > Country
For CRM users, the Main Menu appears as:
• Customer Relationship Management > Sales and Marketing Management > Setup > Country
• Customer Relationship Management > Order Management > Setup > Country
• Customer Relationship Management > Quote Management > Setup > Country
Port
Use the Port sheet to add a port to a country. You can also designate one port per country as a default. Ports
are available in Container Landed Cost Entry.
Field Data
Port XXX SY (where XXX are your initials)
Description XXX Sydney (where XXX are your initials)
Company Configuration
Company Configuration contains features to enable Landed Cost processing for shipping and receiving goods.
2. In the Landed Cost Defaults pane, verify all check boxes are selected:
• Allow Landed Cost In Receipt Entry
• Apply Landed Cost After Receipt
• Allow Split Container Shipment
• Allow Transfer of Indirect Costs
• Allow Update of PO Transaction Value
• Disable Uplift Percent
HS Commodity Codes
Use HS Commodity Maintenance to define the commodity codes tracked for Intrastat reporting and landed
costs. The World Customs Organization (WCO) has developed a Harmonized System (HS) of commodity codes.
Most countries have adopted, or are in the process of adopting, a system of commodity codes based on this
Harmonized System.
Tariffs are linked to HS commodity codes rather than individual parts. This eliminates the maintenance of tariffs
on a part-by-part basis.
Note If intrastat is enabled, then the first eight characters of the HS commodity code will become the
intrastat commodity number (ICN).
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Inventory Management > Setup > HS Commodity
• Material Management > Purchase Management > Setup > HS Commodity
• Material Management > Supplier Relationship Management > Setup > HS Commodity
• Production Management > Engineering > Setup > HS Commodity
• Production Management > Job Management > Setup > HS Commodity
• Sales Management > Order Management > Setup > HS Commodity
For CRM users, the Main Menu appears as:
• Customer Relationship Management > Order Management > Setup > HS Commodity
1. Click New.
Field Data
Statistical Import Code XXX SYIMST
Statistical Export Code XXX SYEXST
Import Code XXX SYIM
Export Code XXX SYEX
Use Import Preference Scheme Maintenance as the first step to set up tariffs to calculate landed cost duties.
With this program, you can identify a group of countries with the same tariff rules and regulations to become
part of a preference scheme.
Important Import Preference Scheme Maintenance is available only if your landed cost license is active.
A preference scheme can apply to one country or a group of countries. Most countries have trade agreements
(preference schemes) that lift duties or have lower tariffs.
Example For example, Australia and New Zealand are typically referred to as ANZ in regards to import
tariff regulations because they share the same import and export regulations and tariffs.
This program functions in conjunction with Import Tariff Maintenance and HS Commodity Maintenance.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > Setup > Import Preference Scheme
2. In the Code field, enter XXX-ANZ and XXX Australia and New Zealand (where XXX are your initials).
Import Tariff Maintenance calculates landed cost tariffs and duties. You can apply rates based on a standard rate
amount or percentage, and define maximum and minimum duty amounts to apply to a shipment. You can also
link a commodity code list to a tariff code and apply these codes to a tariff. One or more tariffs can be used to
calculate the duty on one shipment item. Duties depend on the country of origin of the item. Most countries
have trade agreements (preference schemes) that lift duties or have lower tariffs. A preference scheme applies
to one country or to a group of countries.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Purchase Management > Setup > Import Tariff
Field Data
Code XXX-ANZI (where XXX are your initials)
Description XXX ANZ Import (where XXX are your initials)
Scheme XXX Australia and New Zealand (where XXX are your initials)
Tariff Rate 20
Percent 15
Amount 50
Minimum Duty 100
Maximum Duty 10,000
Duty calculation:
(Total shipment quantity X Tariff Rate) + (Total shipment value X Percent) + Amount = Duty
If total calculated duty amount is less than the minimum duty amount, the minimum duty amount is used.
If total calculated duty amount is more than the maximum duty amount, the maximum duty amount is used.
Menu Path
Navigate to this program from the Main Menu:
• Financial Management > Accounts Payable > Setup > Miscellaneous Charge/Credit
• Material Management > Purchase Management > Setup > Miscellaneous Charge/Credit
• Service Management > Expense Management > Setup > Miscellaneous Charge/Credit
2. In the Charge ID field, enter XXX (where XXX are your initials) and XXX Charge 1 (where XXX are your
initials) as the description.
Field Data
Shipment Class XXX-1ANZ (where XXX are your initials)
Description XXX Containers from ANZ (where XXX are your initials)
Field Data
Loading Port XXX Sydney (where XXX are your initials)
Discharging Port XXX Sydney (where XXX are your initials)
Volume 100 L
Weight 50 KG
4. In the Charge ID field, select XXX Charge 1 (where XXX are your initials).
Field Data
Part/Rev 84005-053
Our Qty 4
Unit Price 24
Field Data
Part/Rev 84005-042
Our Qty 1
Unit Price 55
9. Click Save.
Field Data
Part/Rev 84005-053
Our Qty 4
Unit Price 24
Field Data
Part/Rev 84005-042
Our Qty 1
Field Data
Unit Price 55
9. Click Save.
2. In the Description field, enter XXX Container LC (where XXX are your initials).
6. In the Shipment Class field, select XXX Containers from ANZ (where XXX are your initials).
7. Click Save.
10. Search for and select all four lines for the purchase orders created in the previous workshop.
9. Click Save.
10. On the Landed Cost does not equal the disbursed amount message, click OK
When the Indirect Cost Method is selected, the calculation method of each indirect cost is used. Each
indirect cost line that has the same calculation method is grouped together and the landed cost is disbursed
accordingly.
1. In the Shipment ID field, search for and select the shipment created in the previous workshop.
3. In the tree view, under the Arrived node, select the first line.
5. Click Save.
Process an AP Invoice
Navigate to AP Invoice Entry.
Menu Path: Financial Management > Accounts Payable > General Operations > Invoice Entry
4. In the Ref PO field, enter one of the PO numbers created in the previous workshop and press Tab.
12. Repeat steps 3 - 10 for the other PO number created in the previous workshop.
Conclusion
Appendix
Cost Types
Cost type is initially setup in the company configuration. The cost type for each item may be different. For example,
finished goods may be at a standard cost, while raw material may be an average cost.
A part's cost type may be changed only when the on-hand quantity of the part is zero. The actual cost of the
item may be changed at any time using Cost Adjustment.
Available costing methods:
• Average Cost - This method calculates a weighted average of all receipt costs for this part.
• FIFO - This is an abbreviation for First In First Out. This method assumes that the next quantity to be issued
or shipped from stock is the oldest quantity stored in the warehouse. As long as quantity remains from the
original received quantity, the Epicor application uses this cost value until the entire quantity from the original
receipt is consumed.
• Last Cost - This method calculates the most recent receipt cost for this part.
• Lot Average Cost - This method calculates an average cost of all parts in a lot. This is the total cost, divided
by the total quantity, for all parts in a lot.
• Lot FIFO - This method determines the cost of all parts in a lot by using the FIFO costing method described
above.
• Standard Cost - This method calculates a set cost that you establish and enter for this part. You define and
update the standard cost for each part in the Costing Workbench.
If a part shipped using Customer Shipment Entry is standard costed, the shipment from Work In Process
(WIP) MFG-CUS transaction captures the standard unit cost for the part rather than actual costs from the job.
If there are variances between the standard cost for the part and the actual costs of the job, the Epicor
application creates a MFG-VAR transaction for the remaining WIP balances.
Transaction Types
Transaction types classify part transactions. This is helpful when researching a part in the Part Tracker or when
running the Material Transaction Detail report.
Adjustments
• ADJ-MTL - Adjustment to job cost material.
• ADJ-SUB - Adjustment to job cost subcontract.
• ADJ-PUR - Adjustment to purchase cost variance.
Inspection Processing
• ASM-INS - Assembly to inspection.
• INS-ASM - Inspection to assembly.
• INS-DMR - Inspection to DMR.
• INS-MTL - Inspection to job material.
• INS-STK - Inspection to stock.
• INS-REJ - Inspection to reject.
• INS-SUB - Inspection to subcontract.
• STK-INS - Stock to inspection.
• SUB-INS - Subcontract to inspection.
Manufacturing
• MFG-WIP - Manufacturing receipt to job.
• MFG-PLT - Manufacturing receipt to site.
•
MFG-STK - Manufacturing receipt to stock.
• MFG-VAR - Manufacturing variance.
• MTL-DMR - Job material to DMR.
• MTL-INS - Job material to inspection.
site
• PLT-ASM - site to assembly.
• PLT-MTL - site to job material.
• PLT-STK - site to stock.
Purchasing
• PUR-INS - Purchase receipt to inspection.
• PUR-MTL - Purchase receipt to job material.
• PUR-STK - Purchase receipt to stock.
• PUR-SUB - Purchase receipt to subcontract.
• PUR-UKN - Purchase receipt to unknown.
Shipments
• MFG-CUS - Shipment of manufacturing job to customer.
• MFG-VEN - Shipment of manufacturing job to supplier.
• STK-CUS - Shipment of stock to customer.
Stock Transactions
• STK-ASM - Stock to job assembly.
• STK-MTL - Stock to job material.
• STK-PLT - Stock to site.
• STK-SRV - Stock to service.
• STK-STK - Stock to stock transfer.
• STK-UNK - Stock to unknown.
Index
C S
change po suggestions 69 site maintenance 32
N
new po suggestions 65
http://slidepdf.com/reader/full/epicor-erp-purchase-management-course-1007002 105/105