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    Zakaria Soomro
    POs in Review Receipt Interface
    Topic posted February 14, 2018 by Zakaria SoomroRed Ribbon: 250+ Points, tagged Financials, Fusion, General Ledger, Payables 
    210 Views, 1 Comment
    Title:
    POs in Review Receipt Interface
    Content:

    Hello Everyone,

     

    I have query regarding the Purchase Orders appearing in review receipt interface. We have integrated Oracle Logfire (WMS) with Oracle Fusion and perform the following steps;

     

    1- Create PO in Fusion against Purchase Requisition

    2- Integrate/push that PO to Logfire.

    3- Receive the items in Logfire.

    4- Verify the receiving of items in Logfire (that push the receiving to Fusion)

    5- Run Manage Receiving Transactions to receive the same items in Fusion.

    6- Run Send Pay on Receipt in Fusion to create invoices in Payables.

     

    Some of items are not received in Fusion due to various reasons and same are appearing in Review Receipt Interface, then we have to manually them.

     

    Now I have the following questions;

     

    1- Can we receive all of the pending POs simultaneously, rather than one by one?

    2- After receiving one particular PO manually, why same is appearing again in Receipt Interface?

    3- What is financial impact of these pending POs on AP and GL?

     

    Thanks in advance for you kind response.

     

    Regards,

    Zakaria Soomro

    Comment

     

    • Shyam Santhanam

      Hi Zakaria

      I can answer 2 and 3 questions.

      2: Records in the receiving interface stays untill it is received. A manual receipt is a new receipt transaction. So if you manually received it, the records in the interface still stays and perhaps needs to be rejected. 

      3: I notice in your 6 steps is that you dont have a step for 'accruing for the PO receipts' using receipt accounting. Are these POs marked for accrue at period end? The fact that these are received in Logfire, i would expect you to have inventory costing and receipt accounting also configured. Please confirm. So the typical financial flow when PO are set for 'accrue at receipt' is as below

      After your step 5 above (Run manage receiving transactions to receive the items in fusion)

      - Run 'Transfer transactions from receiving to receipt accounting'

      - Run 'Create receipt accounting distribution' and Run 'Create accounting' for receipt accounting subledger.

      This will create Dr receiving inspection Cr Supplier Accrual

      - Run 'Create Cost accounting distribuition' and Run 'Create accounting' for cost accounting subledger

      This will Dr Inventory and Cr receiving inspection

      Now when you do step 6 - Pay on receipt to create AP invocie

      - Dr Supplier Accrual (this is reversing the accrual entry in receipt accounting)

      Cr AP liability

      So of you have receipts in error sitting in receiving interface, the invoices would have already dr Supplier accrual but the accrual would not have happened. So there will be a 'Dr' balance for supplier accrual. When you manually receive it, then it will rectify the accounting on accrual side. But the record in the receiving interface needs to be cleared so that its not received and accrued twice. 

       

      If you PO is set for accrue at period end:

      Then the process is slightly different.

      The invoice will Dr Charge/Expense Account and Cr AP liability. The receipt is not accounted on receipt by receipt accounting process. However at the end of the period if there are receipts that are not invoiced, then you need to accrue for the same by running 'Uninvoiced receipt accrual' process from receipt accounting. You still need to Run 'Transfer transactions from receiving to receipt accounting' as pre-requisite step.

      Hope this helps.