Purchasing System Defaults

Purchasing System Defaults are provided to permit the user to define default values for several Purchasing application options.  This feature eliminates the duplication of data in several application areas and facilitates customization of the system.

Use

These system defaults are defined in two categories on the Reference File.  The following is a list of the important defaults that are provided:

·     Number Assignment Methods.  The user may choose manual, automatic or a combination of automatic and manual numbering for requisitions, purchase orders, and purchase order receipts.

·     Tax Processing Option.  This option defines whether a VAT, GST, or non-VAT environment is in effect.

·     Requisition Amount Limit.  The user may define the maximum authorized requisition monetary amount.

·     Item/Vendor Relationship Automatic Creation Option.  This option indicates whether an item/vendor relationship will be automatically created after a purchase order is created using an undefined item/vendor relationship.

·     Default Requisition Priority.  This option defines a default requisition priority for the requisition creation process.

·     Default Requisition Close Tolerance Percent.  This option defines a default filter value for determining whether a requisition that has been covered can be manually closed.  If the percent of the requisition that has been covered is greater than or equal to the close tolerance percent, the requisition may be closed.

·     Requisition Modification Flag.  This option defines how much modification can be done to a requisition that is in the process of being covered.  The three options are:  date and quantity modifications are allowed, only quantity modifications are allowed, or no modifications are allowed.

·     Documents Release Codes.  These four options assign default release codes (that is, when the document will be printed) for purchase orders, receipt notices, variance reports, and identification tags.  System-supplied values are:  print immediately, print at end of day, and hold indefinitely.

·     Expedite Notice Processing.  This option defines a default expedite notice type (preventive or past due) and the related leadtime (the number of days before or after the due date the notice should be sent).  This information is used to print an expedite notice status report, which reminds the buyer which orders need to be followed up on.

·     On-Time Days Filter.  This filter is used to determine if a receipt that arrives before or after the due date will be classified as early, late or on-time.

·     Dispute Amount.  This monetary amount is used as a filter during the receiving process to set the quantity or quality control status flags.  If the difference amount (during quantity control) or the rejected amount (during quality control) is greater than or equal to this value, the status is set to "Dispute."

·     Quantity/Amount Statistics Option.  This option determines whether physical quantities or monetary amounts will be used as a basis for quality performance reporting.  If quantity is selected, quantities recorded during quality control will be printed on the statistical performance reports.  If amount is selected, amounts will be printed on the statistical performance reports, calculated based on quantities recorded during quality control and the standard unit cost.