TRAINING MANUAL

ORACLE PURCHASING

A.F.Ferguson & Co.

Chartered Accountants
A Member Firm of
 Training Manual – Oracle Purchasing

Table of Contents
1. PURCHASE REQUISITION CREATION ......................................................................... 3
1.1 RAISE A PURCHASE REQUISITION .......................................................................................................... 3
1.2 SUBMIT A PURCHASE REQUISITION FOR APPROVAL ............................................................................. 15
1.3 APPROVE A PURCHASE REQUISITION ................................................................................................... 18
1.4 TAX ON PURCHASE REQUISITION........................................................................................................ 20
1.5 CANCELLING A PURCHASE REQUISITION.............................................................................................. 22
1.6 CHECK PURCHASE REQUISITION STATUS .............................................................................................28
1.7 RUN A REPORT .................................................................................................................................... 34
2. REQUEST FOR QUOTATION (RFQ) CREATION .......................................................... 42
2.1 ENTER REQUEST FOR QUOTATION (RFQ): ..........................................................................................42
3. QUOTATION CREATION ............................................................................................. 59
3.1 ENTER QUOTATION: ............................................................................................................................ 59
3.2 QUOTATION APPROVAL ....................................................................................................................... 75
4 QUOTE ANALYSIS ....................................................................................................... 80
4.1 QUOTE ANALYSIS EVALUATION .......................................................................................................... 80
4.2 APPROVING ENTIRE QUOTATIONS .......................................................................................................83
4.3 COMPARATIVE STATEMENT ................................................................................................................ 84
5 BLANKET PURCHASE AGREEMENT .......................................................................... 85
5.1 ENTER BLANKET PURCHASE AGREEMENT ...........................................................................................85
5.2 BPA APPROVAL ...................................................................................................................................96
5.3 BPA APPROVAL NOTIFICATION IN APPROVER’S WORK LIST ..................................................................99
6 BLANKET PURCHASE RELEASE .............................................................................. 102
6.1 ENTER BPA RELEASE ........................................................................................................................ 102
6.2 BLANKET RELEASE FUNDS CHECK & RESERVE .................................................................................... 111
6.3 SUBMIT BLANKET RELEASE FOR APPROVAL ........................................................................................112
6.4 APPROVER NOTIFICATION REQUIRING RELEASE APPROVAL ............................................................... 114
7 STANDARD PURCHASE ORDER ................................................................................ 116
7.1 AUTOCREATE STANDARD PO ............................................................................................................. 116
7.2 STANDARD PURCHASE ORDER APPROVAL.......................................................................................... 125
8 COMPLEX PURCHASE ORDER ..................................................................................128
8.1 ENTER COMPLEX PO ......................................................................................................................... 128
8.2 COMPLEX PO APPROVAL ................................................................................................................... 137
8.3 ENTER COMPLEX PO WORK CONFIRMATION..................................................................................... 137
8.4 WORK CONFIRMATION APPROVAL ..................................................................................................... 142
9 RECEIVING ................................................................................................................144

2|Page
 Training Manual – Oracle Purchasing

1. Purchase Requisition Creation

1.1 Raise a Purchase Requisition

Overview:

Purchase Requisition

Purchase Requisition is a document which will be prepared by authorized users in relevant

departments for the procurement of different items. In case of KD kits and other localized parts
and components, Pre-Approved Purchase Requisitions will be auto created by releasing
‘Planned Orders’ from Material Requirement Planning Module.

Purchase Requisition will move from the Preparer to the final approver using a predefined
approval hierarchy.

Navigate to Requisition Window

The Navigation Path to the Requisition form is

Assigned Purchasing Responsibility > Requisitions > Requisitions.

Click on the “Requisitions” function.

3|Page
 Training Manual – Oracle Purchasing

Enter Purchase Requisition Header

1. System will default the relevant operating unit name in operating unit field based on the
data access level of each user.

2. Enter the description for the Purchase Requisition in the “Description” Field. This will
serve the purpose of header note to Purchasing Department.

3. System will default following fields and these will not be updateable;
 Preparer
 Status
 Currency
 Total amount

4. Select the name of Requesting department from Descriptive Flexfield Information (DFF)
at header level.

4|Page
 Training Manual – Oracle Purchasing

Enter Purchase Requisition Lines

For entering the Requisition Lines, the User will click on the “Items” tab in the Requisitions
window.

1. Select “Goods/Service” in line Type for the requisition line.

2. Enter relevant Item in the “Item” field. When you click on the List of Values (LOV) in the
Item field, a window will pop-up specifying the different item segments. The user will select

5|Page
 Training Manual – Oracle Purchasing

a valid combination of values (Items already created in the system). On selecting the Item,
the relevant Item Category, Description, and Unit of Measure (UOM) fields will default.

3. Enter the Quantity you want to request for the item. Decimal quantities can be entered, but a
value greater than 0 must be entered.

4. Unit price will default from item master.

5. Enter the Need By Date (When an item is required)

6|Page
 Training Manual – Oracle Purchasing

6. All other fields in different tabs are non-mandatory. These includes;

 Note to Buyer (Note for the preparer of Purchase order)

 RFQ Required\Not Required
 Long Description (Justification/Description for respective Purchase Requisition Line)
 Note to Receiver (Note for the person entering PO receipts)

7|Page
 Training Manual – Oracle Purchasing

Note: Below step is only necessary when creating foreign currency requisition
lines.

8|Page
Training Manual – Oracle Purchasing

9|Page
 Training Manual – Oracle Purchasing

Other Line Level Information

1. Destination Type will automatically be populated for the selected item.

2. The “Requestor” name will be defaulted same as the Preparer. User may select the Requestor
Name, if it is different from the user.

3. Organization and Location of the organization where item is required, will default
automatically.

4. Enter the Sub inventory. (not mandatory)

In case of purchase requisition, system will default “Supplier” in “Source” field and all other
fields will be non-editable so that user will not be able to select any supplier or its related
information on requisition.

10 | P a g e
 Training Manual – Oracle Purchasing

Review / Update Purchase Requisition Distributions

Click on the “Distribution” button as pointed out in the screen shot.

Click on the Charge Account Tabbed Region to see the Default Charge Account for this
distribution. This account will not be updateable for inventory Items.

11 | P a g e
 Training Manual – Oracle Purchasing

In case of Expense Items Charge Account Field will be enabled, Charge account will default form
expense account defined item level and user update it on need basis i.e. Cost Centre etc.
Save the Work.

Reserve Funds (When Encumbrance is enabled)

When you save the Purchase Requisition, system will assign an automatic sequential number to
purchase requisition and the “Approve” button will automatically be activated.

12 | P a g e
 Training Manual – Oracle Purchasing

Select the Approve button in the document entry window to open the Approve Documents
window.

Tick mark Reserve Check box and click OK. System will give message as “” or in case of any
exceptions, system will give warning message for exceptions found during funds reservation.

Note: If Encumbrance is enabled system will not allow submit for approval before
funds are reserved; Encumbrance functionality is enabled for Foton.

13 | P a g e
Training Manual – Oracle Purchasing

14 | P a g e
 Training Manual – Oracle Purchasing

1.2 Submit a Purchase Requisition for Approval

Once Requisition is saved and funds are reserved, select the Approve button in the document
entry window to open the Approve Documents window.

15 | P a g e
 Training Manual – Oracle Purchasing

Approval Document Window

 Check the ‘Submit for Approval’ button.

 Check the ‘Forward’ button if you want to see the approval hierarchy and
 Enter “Justification” for the upper authority in the approval hierarchy. This field will be
mandatory on approval window.
 Click the “OK” button to complete the procedure for Purchase Requisition.
 Purchase Requisition will be in status of “In Process”.

16 | P a g e
Training Manual – Oracle Purchasing

 Purchase Requisition will proceed for approval process according to assigned approval
hierarchy and will be made available in approver’s notifications.

17 | P a g e
 Training Manual – Oracle Purchasing

1.3 Approve a Purchase Requisition

Only authorized user can take approval action on a purchase requisition. Approving a purchase
requisition is only a two steps process as described below:
As soon as the user will log onto the Oracle Application, the total number of open documents
(Notifications) will appear requiring approval from the user.

Approver can use different approval buttons for multiple purposes as:

 Approve – To approve the document.

 Approve and Forward – Approver will approve and forward the document to next
approver for approval.
 Reject – To reject approval of the document by specifying the reason
 Request Information – If approver wants any information regarding document to be
approved then user will request information from any user using this button.

Once final approver will approve the Requisition, Requisition status will change to
“Approved”.

18 | P a g e
Training Manual – Oracle Purchasing

19 | P a g e
 Training Manual – Oracle Purchasing

1.4 Tax on Purchase Requisition

Follow below navigation to view tax calculated on requisition:

Purchasing Responsibility > Requisitions >Requisition Summary >Search for Requisition
Number > Tools >Manage Tax.

Following window will appear:

20 | P a g e
 Training Manual – Oracle Purchasing

User will click on Additional Information button to view details of Tax classification code based
on which tax is calculated.
Following window will appear showing tax classification code assigned.

In case user wants to select different tax classification code, he will select from Tax Classification
code List of values and select relevant code. After doing so, user will click Apply button to have
impact of new selected tax code on requisition.

21 | P a g e
 Training Manual – Oracle Purchasing

1.5 Cancelling a Purchase Requisition

The Navigation Path to the Requisition form is

Authorized Purchasing Responsibility > Requisitions > Requisitions Summary

22 | P a g e
 Training Manual – Oracle Purchasing

Enter Search criteria as shown in below screenshot:

1. On clicking the “Requisition Summary”, the above shown window will appear.

2. The user can enter different search criteria to find the Purchase Requisition. User may find
the requisition by:

 Requisition Number
 Name of Preparer
 Name of buyer
 Items mentioned in the purchase requisition
 Status of the requisitions i.e. Approved, In Process, Incomplete etc.
 Date ranges i.e. creation date, need-by date, document closed date

23 | P a g e
 Training Manual – Oracle Purchasing

3. Enter the requisition number and click on “Find” button. Following window will appear.

Select Control Documents window

From “Tools” menu select “Control” to open the Control Documents window

24 | P a g e
Training Manual – Oracle Purchasing

25 | P a g e
 Training Manual – Oracle Purchasing

Choose Cancel Requisition and click OK. You should provide cancellation reason from list of
values;
Funds will be un reserved on the GL Date mentioned by the user (default date will be Current
date), user can optionally select ‘Use Document GL Date to Unreserve’ to un reserve at
same GL date.

26 | P a g e
 Training Manual – Oracle Purchasing

A popup caution will appear stating that once a requisition has been cancelled, no further action
can be performed on it.

Click OK to cancel Requisition.

27 | P a g e
 Training Manual – Oracle Purchasing

1.6 Check Purchase Requisition Status

The Navigation Path to the Requisition form is

Authorized Purchasing Responsibility > Requisitions > Requisitions Summary

Enter Search Criteria.

28 | P a g e
 Training Manual – Oracle Purchasing

The user may enter different search criteria to find the Purchase Requisition. He may find the
requisition by:

 Requisition Number
 Name of Preparer
 Name of buyer
 Items mentioned in the purchase requisition
 Status of the requisitions i.e. Approved, In Process, Incomplete etc.
 Date ranges i.e. creation date, need-by date, document closed date

In the Find Requisitions window enter the requisition number and click on “Find” button

29 | P a g e
 Training Manual – Oracle Purchasing

View Header Information

The status of Requisition can be checked from the above screen.

To view the purchase requisition header details, user will scroll the window from left to right.

View Line Information

To view the Line data in a requisition, click on “Lines” and following will appear:

30 | P a g e
 Training Manual – Oracle Purchasing

To view Line level details, the user will scroll the window from left to right.

View Distribution Information

To view the Distribution data in a requisition, click on “Distributions” and following will appear:

31 | P a g e
 Training Manual – Oracle Purchasing

To view distribution details, the user will scroll the window from left to right.

View Action History

To view the action history on the purchase requisition, user will move to Tool >Action
History

32 | P a g e
 Training Manual – Oracle Purchasing

Screenshot shows the date wise detail of actions taken by each approver along with the person
with which action is pending or completed. It also shows any “Note” specified by each approver
while taking action on requisition.

33 | P a g e
 Training Manual – Oracle Purchasing

1.7 Run a Report

To initiate reports, follow the navigation path:

Authorized Purchasing Responsibility > Requests > Run.

34 | P a g e
 Training Manual – Oracle Purchasing

Purchasing asks you whether you want to submit a Single Request or a Request Set. Select the
Single Request option

35 | P a g e
 Training Manual – Oracle Purchasing

Enable Single request and Click on the OK button. This will take you to the Submit Request
form.

1 In the Name field select the Required Report from List of Values.
2 In the Parameter field enter the required parameter related to the Report.

36 | P a g e
 Training Manual – Oracle Purchasing

3 Now click on Submit Request for Report Run. A dialog box appears with the concurrent
request ID and asks the question whether you want to submit another request. Click on the
No button for this exercise.

37 | P a g e
 Training Manual – Oracle Purchasing

4 Go to View menu and then select Requests.

5 The following window will appear: Press ‘Find’ button

38 | P a g e
 Training Manual – Oracle Purchasing

6 The following screen will appear:

39 | P a g e
 Training Manual – Oracle Purchasing

This screen shows the status of each and every report run by all the users. The Status column is
important. User can view the output of a report only when its status has become “Normal” and
phase is “Completed”. This status and phase means that the report has run successfully. The
‘Refresh Data’ button will be used to update the status of a pending report.

40 | P a g e
 Training Manual – Oracle Purchasing

Click View Output button to view the result of report.

41 | P a g e
 Training Manual – Oracle Purchasing

2. Request for Quotation (RFQ) Creation

Overview:

Request for Quotation (RFQ)

A request for quotation (RFQ) is a document used to solicit supplier quotations for goods or
services.
There are two methods of creating an RFQ;

 Auto Creation Method

 Creation of RFQ manually

At Foton JW AutoPark, RFQ will be created through Auto Creation method.

2.1 Enter Request for Quotation (RFQ):

Auto Creating RFQ

RFQ may be auto created by the Purchase Requisition. In such a case all the information on the
RFQ will be defaulted from the Purchase Requisition and user will not be required to enter most
of the fields of RFQ.

42 | P a g e
 Training Manual – Oracle Purchasing

The Navigation Path to the Autocreate form is:

Authorized Purchasing Responsibility > AutoCreate

Enter Search criteria as:

43 | P a g e
 Training Manual – Oracle Purchasing

In search Criteria user may enter:

 Enter the status of the Purchase Requisition from which you want to create the
Request for Quotation.
 Enter the requisition number you want to use while creating the RFQ.
 Or, enter any other criteria user may think fit for search. User may use:

 Requestor Name
 Preparer Name
 Supplier Name
 Item Name etc.

44 | P a g e
 Training Manual – Oracle Purchasing

1. Select the Document Type “RFQ” you want to create from the selected Purchase
Requisition.
2. Click on the “Automatic” button to create the RFQ automatically from the system on the
basis of the Purchase Requisition.

Enter RFQ Parameters as:

1. User will be able to specify following information for the RFQ:

 RFQ Type
 Currency Source

45 | P a g e
 Training Manual – Oracle Purchasing

 Currency Code
 Rate Type
 Rate Date
 Conversion Rate

2. Click on the “Create” button to process RFQ creation.

1. The auto created RFQ will automatically open on the successful completion of the creation
process of the RFQ.

2. Use the Status field to control the status of the RFQ. Here you are provided with the following
options
 In Process - The initial status when you create the RFQ.
 Active - Choose this status when the RFQ is complete and you are ready to send it to
your suppliers. Only Active RFQs are printed.
 Printed - The status assigned to the RFQ when at least one copy of it has been
printed.
 Closed - Choose this status to close the RFQ when all suppliers have responded or
when you no longer want responses.

3. Enter the Due Date by which your suppliers must reply.

46 | P a g e
 Training Manual – Oracle Purchasing

4. Enter the Reply/Receive via code for the method you want the supplier to use to send the
quotation. For example, by mail, telephone, or FAX.

5. Enter the Close Date for the RFQ.

Update RFQ Lines

User will be able to update the following information on RFQ Line:

 Item Type
 Item Code
 Unit of Measure
 Target Price
 Note to Supplier

47 | P a g e
 Training Manual – Oracle Purchasing

Enter Suppliers Information

Now click on Suppliers button on below mentioned form:

48 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear, requiring supplier details from whom quotations will be
requested.

User will enter details of different suppliers as:

49 | P a g e
Training Manual – Oracle Purchasing

1. User will select the suppliers from the list of values available in the system. System will
automatically assign a sequence number to the supplier. The site will be defaulted as soon
as we select the Suppliers.

2. Save your work.

3. On entering the suppliers, just close the form and we will move to the main RFQ window.

50 | P a g e
 Training Manual – Oracle Purchasing

Enter the Price Breaks Information

Click on Price Breaks button as:

51 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

Enter the Price Break for the Line and mention other information as appropriate.
Attention: Use this window to request as many price breaks as you want. You can provide
multiple price breaks if you want to receive quotations from your suppliers for different terms,
ship-to locations, or quantities.
1. In the Price Break tabbed region, enter the line Number. Purchasing supplies line numbers
in increments of one.
2. Enter the Quantity at the defaulted price.
3. Enter the shipping UOM for the RFQ price break line. You may want the supplier to ship the
item in different units of measure depending on the quantity you order. Purchasing defaults
the unit of measure from the RFQ line.
4. Enter the unit Price for the RFQ price break line. You might want to provide price discounts
to indicate to the supplier the prices you would like to receive.
5. Enter the Organization.
6. Enter the Ship-To location of the quotation line shipment. Purchasing defaults the ship-to
location from the RFQ header.

52 | P a g e
 Training Manual – Oracle Purchasing

7. Enter the Discount percentage from the unit price for the RFQ line.
8. Enter the Effective Date when you want to be able to start using the quotation from your
supplier. If you leave this field blank, Purchasing applies the quotation effective date from
the RFQ Header window. You can also enter lead time information instead of date
information.
9. Enter the Expiration Date when you no longer need the quotation from your supplier. If you
leave this field blank, Purchasing applies the expiration date from the RFQ header.
10. Enter the Lead Time for this RFQ line.
11. Enter the UOM you want to use to define the lead time.
12. Enter the Payment Terms for the RFQ. The default is the payment terms from the RFQ
header.
13. Enter the Freight Terms for the RFQ. Purchasing defaults these terms on the RFQ only if
they are different from the freight terms on the RFQ header. The default is the freight terms
from the RFQ header.
14. Enter the FOB point for your RFQ Line. Purchasing defaults this FOB point on the RFQ only
if it is different from the FOB point on the RFQ header. The default is the FOB name from
the RFQ header.
15. Enter the freight carrier for your RFQ. Purchasing defaults this carrier on the RFQ only if it
is different from the carrier on the RFQ header. The default is the carrier from the header.

To enter additional RFQ price break information:

1. Select the More tabbed region in the RFQ Price Breaks window.
2. Enter the line number. Purchasing provides line numbers in increments of one.
3. Choose the Match Approval Level. The default is from the Purchasing Options
window.

 Two-Way - Purchase order and invoice quantities must match within

tolerance.
 Three-Way - Purchase order, receipt, and invoice quantities must match
within tolerance.
 Four-Way - Purchase order, receipt, inspection, and invoice quantities must
match within tolerance.

4. Enter the Quantity Received Tolerance. The default is from the Receiving Options
window.
5. Enter the Quantity Received Exception option.

53 | P a g e
 Training Manual – Oracle Purchasing

 None - Receipts may exceed the selected tolerance.

 Reject - Receipts cannot exceed the selected tolerance.
 Warning - The receiver gets a warning message, but receipts can exceed the
tolerance

Enter RFQ Terms

Click on Terms button as:

54 | P a g e
Training Manual – Oracle Purchasing

55 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

1. Navigate to the RFQ Terms window by selecting the Terms button in the RFQs window. All
terms and conditions information is optional.

2. Enter the Payment terms for the RFQ.

3. Enter the Freight terms for the RFQ.

4. Enter the freight Carrier for shipment of the RFQ.

5. Enter a Note To Supplier. You can enter up to 240 characters in this field.

6. Save the work.

7. Close the RFQ Terms window.

56 | P a g e
 Training Manual – Oracle Purchasing

Enter RFQ Currency Details

Click on Currency button as:

Following window will appear:

57 | P a g e
Training Manual – Oracle Purchasing

1. Enter the Currency information, rate type, rate date and conversion rate in case of a
foreign currency.
2. Press done button to move to the RFQ window.
3. Save the RFQ and close.

58 | P a g e
 Training Manual – Oracle Purchasing

3. Quotation Creation
3.1 Enter Quotation:

Overview
Quotation

A Quotation is a statement of the price, terms and conditions, a supplier quotes you in response
of RFQ. Suppliers consider quotations as an offer to sell when given in response to an inquiry
such as a request for quotation.
There are two methods of entering a quotation;
 Enter Quotations with reference to RFQ
 Enter Quotations manually

At Foton JW Autopark, Quotations will be recorded with reference to RFQ.

Autocreate Quotation from RFQ

An authorized user can enter the quotations with reference to RFQ. In such a case, most of the
information will be defaulted from the RFQ.

59 | P a g e
 Training Manual – Oracle Purchasing

The Navigation Path to the RFQ form is

Authorized Purchasing Responsibility > RFQ’s and Quotations > RFQ’s

Following window will appear:

60 | P a g e
 Training Manual – Oracle Purchasing

Find the relevant RFQ number with reference to which you want to enter quotation of a
supplier.
To find RFQ number follow navigation as View > Find from above page.

61 | P a g e
Training Manual – Oracle Purchasing

62 | P a g e
 Training Manual – Oracle Purchasing

Following list will appear mentioning RFQ numbers. Select your relevant RFQ number for
which you want to record Quotation in system.

63 | P a g e
 Training Manual – Oracle Purchasing

Once RFQ is selected and opened, follow below navigation to copy Quotation from selected
RFQ:
Tools > Copy Document.

64 | P a g e
 Training Manual – Oracle Purchasing

Following form will appear. Enter parameters to create quotation.

User will mention following information while copying Quotation from RFQ:
1. Select “Entire RFQ” in “Action” field

2. Select “Standard Quotation” in “Type” field

3. Select supplier from which quote is received

4. Select the relevant supplier site

5. Press “OK” button

Completion of Quotation Creation process

Once you select parameters and select OK, quotation will be created as system will generate
following message:

65 | P a g e
 Training Manual – Oracle Purchasing

On completing quote creation process, a popup note will appear. This note assures the
completion of quotation process and specifies the number assigned to newly created quotation.

66 | P a g e
 Training Manual – Oracle Purchasing

Clicking OK on pop-up message will result in following Quotation form to appear:

1. Quotation number assigned to the Quotation, RFQ number, Supplier, Site and other
information as were mentioned in the RFQ.

2. Use the Status field to control the status of the Quotation. Here you are provided with
the following options

In Process - The initial status when you create the Quotation.

Active - Choose this status when the Quotation is available to place orders.
Closed - Choose this status to close the quotation when it is no longer valid.

3. Enter Supplier Quote Number / Quote Reference

4. Enter the quote effective date

5.Enter Response date.

67 | P a g e
 Training Manual – Oracle Purchasing

Enter Quotation Lines

68 | P a g e
 Training Manual – Oracle Purchasing

1. Enter the price as quoted by the suppliers.

2. Note from Supplier

3. Save the work

Enter Price Breaks

Click on Price Breaks button as:

69 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

70 | P a g e
 Training Manual – Oracle Purchasing

Enter the per unit price here again and mention any other relevant information as required in
the fields.

71 | P a g e
 Training Manual – Oracle Purchasing

Enter Quotation Terms & Conditions

Following window will appear:

72 | P a g e
 Training Manual – Oracle Purchasing

All information here will be defaulted from the RFQ. User may change any information as per
the instructions mentioned by the supplier in the response to quotations. User will be able to
enter/update following information:

 Payment Terms
 Freight Terms
 Carrier
 Note from Supplier
 Warning Delay

This is the number of days before a quotation expires that we want to receive an expiration
warning. When a quotation is due to expire within the number of days we provide here,
purchasing provides a notification on the home page.

73 | P a g e
 Training Manual – Oracle Purchasing

Enter Quotation Currency

Click Currency button as shown below:

74 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

Save the work.

Note: Repeat the same procedure for entering all the quotations provided by the suppliers in
response of RFQ.

3.2 Quotation Approval

Quotation can either be approved from Quotation form or Quote analysis form.
Approving Quotation from Quotation form:
Quotation status needs to be changed to Active in order to make it available for approval.

75 | P a g e
 Training Manual – Oracle Purchasing

From Quotation form, select Approve button as:

76 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

User will enter following information in Approval window:

 Type as “All Orders”

 Reason for approving – will be selected from list of approval parameters as best delivery,
best design, low rates, best quality etc.
 Comments for approval will be mandatory.

77 | P a g e
 Training Manual – Oracle Purchasing

By clicking OK, system will generate pop-up message that quotation lines are approved as
shown in image below. Once Quotation will be approved, Blanket Purchase Agreement can be
processed against it.

Use the Quotations window to approve or unapprove individual quotation shipments.

To approve/unapproved entire quotations:

1. Navigate to the Approve Entire Quotation window by selecting the Approve Entire
Quotation button in the Quotations window. In this case, your approval action applies to
all shipment lines on the quotation behind the current quotation shipment when you select
the Approve Entire Quotation button. You can also navigate to this window by selecting
the Approve button in the Quotations, Quotation Shipments, and Quotation Price Breaks
windows.
2. Select either Approve or Unapproved as the approval action. You can approve an entire
quotation as often as you want. Each time you approve an entire quotation, Purchasing
creates a new approval for each quotation shipment.

If you select Approve, you must enter an approval type and reason before you can save
your changes. You can approve a specific quotation several times for different approval

78 | P a g e
Training Manual – Oracle Purchasing

types and reasons. If you enter Unapproved, you will be unapproving all shipment lines
for the current quotation.

3. Enter the approval Type for your quotation. Approval types determine the types of
documents on which you can use the quotation. The available types are: All Orders (all
types of purchase orders and requisitions), Purchase Agreements, Requisitions, and
Standard Purchase Orders.
4. Enter an active approval reason. You can enter this field only when you choose Approve
as the action.
5. Enter the name of the approver. Purchasing defaults your name in this field. You can
enter this field only when you choose Approve as the action.
6. Enter the Effective date range for your approval. You can use approved quotation
information on your documents only if the quotation is active and if the current date is
within the effectivity dates. If you do not provide an expiration date, you can always use
the quotation for your documents while the quotation is active and approved.
7. Enter comments about your approval. You can enter this field only when you choose
Approve as the action.
8. Select OK to approve/unapproved the quotation.

79 | P a g e
 Training Manual – Oracle Purchasing

4 Quote Analysis
An authorized user may initiate online Quote Analysis procedure for selecting the best quote for
the purpose of Purchase Order.

4.1 Quote Analysis Evaluation

Navigation Path for Quote Analysis is:

Authorized Purchasing Responsibility > RFQs and Quotations > Quote Analysis

Following form will appear. Enter Search criteria as shown in image below:

80 | P a g e
 Training Manual – Oracle Purchasing

The user will enter the search criteria to find out a comparison of different quotes. For example,
he will mention the RFQ number with reference to which different Quotations have been
entered.

81 | P a g e
 Training Manual – Oracle Purchasing

The window will be shown for the comparison of the quotes entered for the various suppliers.

82 | P a g e
 Training Manual – Oracle Purchasing

4.2 Approving Entire Quotations

Use the Approve Entire Quotations window to approve or unapproved all shipments for a single
quotation. You simply provide an approval type and reason. Purchasing approves or unapproved
all shipments on the quotation.

After clicking on OK button entire quotation will be approved and system will generate message
as “Quotation Lines have been approved”:

83 | P a g e
 Training Manual – Oracle Purchasing

4.3 Comparative Statement

Customized comparative statement report will also be used at Foton JW Autopark to evaluate
various quotations against specific Purchase Requisition/RFQ.

Different parameters will be used in the report for evaluating quotations on different basis like
Supplier previous delivery schedules (supplier performance), Prices quoted by different
suppliers, Quality offered, Discounts offered etc.

84 | P a g e
 Training Manual – Oracle Purchasing

5 Blanket Purchase Agreement

Overview
Blanket Purchase Agreement (BPA)
BPA will be used to create agreements with the suppliers mentioning Price information and
related terms & conditions (as BPA is for such arrangements with the supplier where fixed price
and terms & conditions are prespecified).
At Foton JW Autopark, BPA will be autocreated through Copy Document feature from Approved
Quotation.

5.1 Enter Blanket Purchase Agreement

Following is the navigation path:

Authorized Purchasing Responsibility > Quotation >

Click on Quotations function as shown in image below:

85 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

86 | P a g e
 Training Manual – Oracle Purchasing

Follow navigation View > Find and select Quotation number from which to create BPA.

87 | P a g e
 Training Manual – Oracle Purchasing

Selected quotation will appear. Follow below navigation to create BPA from quotation:
Tools > Copy Document.

88 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear mentioning BPA as document type that will be created along with
other information like attachments in quotation will be replicate on BPA as well.

89 | P a g e
 Training Manual – Oracle Purchasing

Click on OK button and following message will intimate that BPA is created as:

BPA Information

90 | P a g e
 Training Manual – Oracle Purchasing

Supplier and supplier site will default from Quotation.

User will enter following information in BPA Header:

 Ship-to Location
 Bill-to Location
 BPA Description

BPA Line Information

All information in BPA lines will default from quotation as shown in image above:
Reference document tab will contain quotation information as:

 Source Document
 Document Type – Standard Quotation
 Document Number
 Document Line Number

Following image will show Reference Document tab:

91 | P a g e
 Training Manual – Oracle Purchasing

BPA Price Breaks

Click on Price Breaks button as:

Following window will appear:

92 | P a g e
 Training Manual – Oracle Purchasing

Price breaks will default entries from Quotation price breaks. However, new entries can be
created in BPA price breaks as well as was in the case of Quotation’s price breaks.
BPA Terms
Click on Terms button as:

93 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

Terms & conditions will default from Quotation. However all fields are optional and user can
enter any information related to supplier terms & conditions.

94 | P a g e
 Training Manual – Oracle Purchasing

BPA Currency
Click on Currency button as:

Following window will appear:

95 | P a g e
 Training Manual – Oracle Purchasing

5.2 BPA Approval

Once BPA is saved, user will submit BPA for approval. For this user will click on Approve button
as shown in image below:

96 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

User will select following options:

 Submit for Approval

 Forward

Approval note will be mandatory and will be entered for the purpose of intimating something
regarding approval to first approver in the hierarchy.

97 | P a g e
 Training Manual – Oracle Purchasing

Once BPA will be submitted for approval, its status will change to “In Process” and action
history will also show pending approval from next approver along with any notes given in
Approval window by BPA preparer.

98 | P a g e
 Training Manual – Oracle Purchasing

5.3 BPA Approval Notification in Approver’s work list

BPA requiring approval will be appearing in notifications of approver as shown in below

screenshot:

Approver will select notification requiring BPA approval, following notification will open:

Approver can use different approval buttons for multiple purposes as:

 Approve – To approve the document.

 Approve and Forward – Approver will approve and forward the document to next
approver for approval.
 Reject – To reject approval of the document by specifying the reason

99 | P a g e
 Training Manual – Oracle Purchasing

 Request Information – If approver wants any information regarding document to be

approved then user will request information from any user using this button.

Approver will click on Approve button to approve the document or in case of any next approver
in hierarchy, approver will select Approve and Forward button.

100 | P a g e
 Training Manual – Oracle Purchasing

Once BPA will get approved by final approver, BPA status will change to Approved status as
shown in screenshot below:

101 | P a g e
 Training Manual – Oracle Purchasing

6 Blanket Purchase Release

Overview
Blanket Purchase Release
Blanket Purchase Release will perform the functionality of purchase order as it will contain
actual quantity to be ordered based on pricing and terms & conditions specified in respective
BPA.
At Foton JW Autopark, Blanket Purchase Releases will be created whenever order has to be
created against defined BPA in system.

6.1 Enter BPA Release

Following navigation will be used:

Authorized Purchasing Responsibility > Autocreate.

102 | P a g e
 Training Manual – Oracle Purchasing

Click Autocreate as:

103 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

Search for requisition for which Blanket release needs to be created. After entering requisition
number in search window, click Find. Following window will appear:

104 | P a g e
 Training Manual – Oracle Purchasing

Select requisition lines to autocreate into Blanket Release. Select document type as Blanket
Release and click on Automatic button. Following window will appear. Select BPA number in
Document field as:

105 | P a g e
 Training Manual – Oracle Purchasing

Click Create and following Blanket Release will be created:

Blanket Release Header

106 | P a g e
 Training Manual – Oracle Purchasing

Here all Release header information will default from Requisition and respect BPA.
Blanket Release Lines

All information on Blanket Release will default from requisition and BPA. Like Quantity will
default from requisition and price will default from BPA.

107 | P a g e
 Training Manual – Oracle Purchasing

Blanket Release Distributions

Click on Distributions button as:

108 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

All distributions information including following will default from requisition as:

 Destination Type
 Deliver to Location
 Charge Account

109 | P a g e
 Training Manual – Oracle Purchasing

Blanket Release Receiving Controls

Click on Receiving Controls button as:

Receiving controls will default from Receiving Options or Supplier master information.

110 | P a g e
 Training Manual – Oracle Purchasing

6.2 Blanket Release Funds check & Reserve

Click on Approve Button and tick mark Reserve checkbox.

System will generate following message for funds reservation:

111 | P a g e
 Training Manual – Oracle Purchasing

6.3 Submit Blanket Release for Approval

User will again click on Approve button and select following fields:

 Submit for approval

 Forward

Approval Note will be mandatory for any intimation to the approver in hierarchy.

After clicking OK, Release will be available for approval in approver’s notification and release
status will change to “In Process”.

112 | P a g e
Training Manual – Oracle Purchasing

113 | P a g e
 Training Manual – Oracle Purchasing

6.4 Approver Notification requiring Release Approval

Approver will look for release requiring approval in his notifications as:

Approver will open notification and approve Blanket Release by clicking on Approve button:

Once release gets approved by all approvers in the hierarchy, Blanket Release status will change
to Approved as shown in below screenshot:

114 | P a g e
Training Manual – Oracle Purchasing

115 | P a g e
 Training Manual – Oracle Purchasing

7 Standard Purchase Order

Overview:
Standard Purchase Order (PO)
Where Blanket Purchase Agreement does not exist, Standard Purchase Order will be created for
procurement of goods/services.
At Foton JW Autopark, Standard PO will be created through Autocreate function.

7.1 Autocreate Standard PO

Following navigation path will be followed:

Assigned Purchasing Responsibility > Autocreate.

Click on Autocreate function:

116 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear:

User will enter search criteria to find requisition from which to autocreate standard purchase
order. Click on Find.

117 | P a g e
 Training Manual – Oracle Purchasing

Following window will appear showing requisition lines:

User will select requisition lines to autocreate standard PO.

Document type will be selected as “Standard PO” and user will click on Auotmatic button.
Following window will appear, user will click Create button to autocreate standard PO.

118 | P a g e
 Training Manual – Oracle Purchasing

Enter PO Header:

User will enter following details at PO Header level:

 Supplier Name
 Supplier Site
 Ship-to Location
 Bill-to Location
 Description

119 | P a g e
 Training Manual – Oracle Purchasing

Enter PO Lines
Following information will default from approved requisition:

 Line Type
 Item number
 Item Description
 Item UOM
 Line Quantity
 Line Unit price
 Need-By Date

Enter PO Shipments
Click on Shipments button as:

Following window will appear:

120 | P a g e
 Training Manual – Oracle Purchasing

All information on shipments like ship-to organization and ship-ro location details will default
from approved requisition.
Shipment Receiving controls will default on PO as:

121 | P a g e
 Training Manual – Oracle Purchasing

Click OK button and the click on Distributions button:

Following window will appear showing default information for PO charge account and other
account details.

122 | P a g e
 Training Manual – Oracle Purchasing

Standard PO Terms
Click on Terms button on main form of PO and following window will appear showing terms
details defaulting from approved requisition. But user can enter more terms details here.

Standard PO Currency
Click on Currency button on main form of PO and following window will appear showing
currency details:

123 | P a g e
 Training Manual – Oracle Purchasing

Reserve Funds for PO

Click on Approve button and only select tick mark for Reserve and click OK.

Following message will be generated by the system:

Click OK.

124 | P a g e
 Training Manual – Oracle Purchasing

7.2 Standard Purchase Order Approval

After funds reservation, user will again click on Approve button and select following options:

 Submit for approval

 Forward

Approval Note will be mandatory for the preparer of the PO to enter to intimate approver for
any relevant information.

Click OK and PO will be submitted for approval.

125 | P a g e
 Training Manual – Oracle Purchasing

Standard PO approval status will change to “In Process”.

Approval Notification in Approver’s Worklist

Approver will get notification for approval of PO in his worklist as:

126 | P a g e
 Training Manual – Oracle Purchasing

Approver will click on Approve button to approve the PO.

Once PO will be approved by all approvers in assigned approval hierarchy, PO status will change
to Approved as shown in below screen shot:

Once PO is in approved status, it will be available for Receiving.

127 | P a g e
 Training Manual – Oracle Purchasing

8 Complex Purchase Order

Overview
Complex Purchase Order
Compex Purchase Orders will be created for long term contracts/projects in system by entering
retention percentage for amount retained and will be cleared once project will be completed.
Separate invoicing will be created in Payables for retained amounts.

8.1 Enter Complex PO

Following navigation will be followed for creating Complex PO:

Authorized Purchasing Responsibility > Buyer Work bench > Orders.

128 | P a g e
 Training Manual – Oracle Purchasing

After Clicking Orders function, following HTML form will open for creating complex PO:

Open drill down list of values for selecting complex PO as document creation as shown in below
screenshot:

Click GO and following window will open showing different document styles, user will select
Complex PO from the list as:

129 | P a g e
 Training Manual – Oracle Purchasing

Click GO as shown in image below:

Following window will appear:

Enter Complex PO Header Information

130 | P a g e
 Training Manual – Oracle Purchasing

User will enter following information in Header area:

 Operating Unit will default.

 Supplier Name
 Supplier Site
 Description
 Bill-to-location will default from Supplier site
 Payment terms will default from Supplier
 User will select Default ship-to-location

Enter Complex PO Lines

Click on Lines tab and following window will appear:

Uncheck “Schedules Enabled” in order to enable Pay items for the complex PO.
Following message will appear when Schedules Enabled checkbox is disabled. Click Yes to
proceed.

131 | P a g e
 Training Manual – Oracle Purchasing

User will enter Item number and item description and its price will default from item master.
User will enter:

 Quantity to be ordered.
 Need-By Date

Click on Pencil symbol on respective line as shown in image above. Following window will
appear:

Enter following information in Shipping area of Complex PO Line:

 Advance amount (if any)

 Retainage percentage

Click Apply button to save changes at Line level.

132 | P a g e
 Training Manual – Oracle Purchasing

Enter Complex PO Pay Items

User will click on Pay Items tab:

Click on Pencil Icon as shown in image above against respective Pay Item Line.
Following window will open which shows all information defaulting from Complex PO lines and
supplier information.

User can make any changes in defaulted fields and then will click on Apply button to save the
changes.

133 | P a g e
 Training Manual – Oracle Purchasing

Enter Complex PO Distributions

User will click on Distributions tab and following information will appear:

User will enter Deliver-to-location manually in distributions. However, PO charge accounts will
default.
As shown in image below, separate distribution will be created for advance:

And other distribution will be for Complex PO line created.

134 | P a g e
 Training Manual – Oracle Purchasing

On Saving the PO by clicking on Save button, Purchasing will assign automatic sequential
number to the complex PO created as shown in image below:

Now user will check funds available in budget to allocate and reserve for this Complex PO.
For this, user will select Check Funds option from drill down and will click OK as shown in
image below:

135 | P a g e
 Training Manual – Oracle Purchasing

On successful funds check, system will generate following message. User will click OK to
proceed. Or in case of any warning or exceptions, user will click on View Results button to
review report for budget availability or any exceptions.

Once funds are reserved, user will select Validate document from list of values and will click GO.

On successful validation, system will generate message as:

136 | P a g e
 Training Manual – Oracle Purchasing

8.2 Complex PO Approval

After successful validation, click on Submit button to submit Complex PO for approval.
Same approval process will be carried out as described above for approvals of Purchase
Requisition and their Blanket Purchase Agreement and Blanket Releases.

8.3 Enter Complex PO Work Confirmation

Once Complex PO gets approved as shown in below screen shot, user can create work
confirmation against approved complex PO when some work related to the project completes.

Now for creating work confirmation, user will find respective complex order number and from
Select Order dill down, will select Create Work Confirmation and click GO, as shown in image
below:

Select All Pay items option from drill down as shown in below screen shot and click GO.

137 | P a g e
 Training Manual – Oracle Purchasing

Select Pay Item as shown below and click on Next button.

Following window will appear:

138 | P a g e
 Training Manual – Oracle Purchasing

User will enter Work confirmation number and period of performance (optional).

User will click NO if no more work confirmations need to be created.

User will submit work confirmation for approval by clicking Submit button as shown in below
screen shot.

System will generate following message:

139 | P a g e
 Training Manual – Oracle Purchasing

Work confirmation status can be viewed using following navigation:

Buyer work centre > Orders > Search for relevant complex PO > Select View work confirmations
> Go.
This can be viewed in following screen shot:

Following window will appear showing Work Confirmation status as “Processing”.

140 | P a g e
 Training Manual – Oracle Purchasing

Note: Scheduled Receiving Transaction Processor will set status of the work
confirmation as ‘Pending Approval’ and send approval notification to predefined
approval hierarchy.

141 | P a g e
 Training Manual – Oracle Purchasing

8.4 Work Confirmation Approval

Once work confirmation status becomes Pending Approval, it will be available for approval in
approver’s notification as shown in image below:

Approver will open relevant notification and will approve the work confirmation by clicking on
“Approve” button after verification of all details on the notification.

Once all approvers in assigned approval hierarchy will approve the work confirmation, its status
will change to “Processed” as shown in below screenshot:

142 | P a g e
Training Manual – Oracle Purchasing

143 | P a g e
 Training Manual – Oracle Purchasing

9 Receiving

For receiving process, please refer to Oracle Inventory training manual.

144 | P a g e