3.1 Types of Document

Requisitions and Order Requests

A Requisition is defined as the complete set of items requested for purchase by an individual and may contain items supplied by a number of different suppliers. The requisition is sorted by supplier and is routed for approval BEFORE being converted into Purchase Orders.

An Order Request is defined as all the items to be purchased from an individual supplier. PECOS P2P will create one Order Request for each supplier from every Requisition that is submitted and these will subsequently become the Purchase Orders.

Approval Plans may be defined to route either complete Requisitions or individual Order Requests or a combination of both for approval. Each user may have one Requisition routing plan and one Order Request routing plan assigned to them to optimise their organisation's approval requirements. PECOS P2P will first route a users requisition through a Requisition Plan and once completed, will route the individual order requests through a Purchase Order Plan.

For approval purposes this allows for flexibility. A department manager can approve everything purchased on a Requisition but a divisional director or commodity manager who only wants to see and approve specific items for certain suppliers, can do so on an Order Request.

Change Orders

Change Orders are created when an original order, already sent to the supplier, needs to be amended. The rules defining when a Change Order needs approval may be based on the amount or percentage it has changed since the original or previous change order was sent to the supplier. Each user must have a Change Order Plan assigned to them to define these rules and ensure change orders are routed for approval. Change orders are NOT routed for approval using the original requisition or purchase order plans but may be written to accommodate the same or similar rules.

Invoices

An Invoice is the supplier’s charging or billing document that is presented to you in order that you can record the transaction financially and undertake payment for the goods or services received. Invoices may optionally be entered into PECOS P2P and matched to order and receipt data before being transferred to your organisation’s financial system for payment. After matching and before integration, invoices can be routed for approval using an Invoice Settlement Plan.