Oracle Fusion Applications 11g Release 7 (11.1.7.0.

0) Procurement Release Content Document

Table of Contents
1 Procurement........................................................................5
1.1 Set Up Procurement................................................................................... 5
1.1.1 Define Sourcing Configuration...................................................................................................5 1.1.2 Define Supplier Configuration....................................................................................................5 1.1.3 Define Self Service Procurement Configuration.......................................................................5 1.1.4 Define Supplier Contracts Configuration................................................................................... 5 1.1.5 Define Requisition Configuration...............................................................................................6 1.1.6 Define Purchasing Configuration...............................................................................................6 1.1.7 Define Payables............................................................................................................................6 1.1.8 Define Disbursements.................................................................................................................7 1.1.9 Define Payments Security...........................................................................................................7 1.1.10 Configure Payment System Connectivity................................................................................7

1.2 Manage Supplier Negotiations.................................................................. 7

1.2.1 1.2.2 1.2.3 1.2.4 1.2.5 1.2.6 1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 1.3.6 Create Negotiation.......................................................................................................................7 Capture Supplier Response........................................................................................................8 Manage Negotiation Lifecycle.....................................................................................................8 Evaluate Negotiation....................................................................................................................9 Amend Negotiation......................................................................................................................9 Award Negotiation........................................................................................................................ 9 Manage Supplier Agreement Standards and Business Rules...............................................10 Create Supplier Agreement.......................................................................................................11 Approve Supplier Agreement.................................................................................................... 12 Dispatch Supplier Agreement...................................................................................................12 Manage Supplier Agreement Lifecycle....................................................................................12 Amend Supplier Agreement......................................................................................................12

1.3 Manage Supplier Agreements................................................................... 9

1.4 Manage Supplier Information.................................................................. 13

1.4.1 Manage Supplier Item Information...........................................................................................13 1.4.2 Manage Supplier Registrations................................................................................................. 13 1.4.3 Manage Supplier Profiles..........................................................................................................14

1.5 Manage Procurement Catalog................................................................14

1.5.1 Manage Procurement Content..................................................................................................14

1.6 Manage Supplier Contracts..................................................................... 14

1.6.1 1.6.2 1.6.3 1.6.4 1.6.5 1.6.6 1.7.1 1.7.2 1.7.3 1.7.4 1.7.5 1.8.1 1.8.2 1.8.3 1.8.4 1.8.5 Manage Supplier Contract Policy and Standards...................................................................14 Create Supplier Contract...........................................................................................................16 Approve Supplier Contract........................................................................................................ 16 Monitor Supplier Contract.........................................................................................................17 Amend Supplier Contract..........................................................................................................17 Close Supplier Contract............................................................................................................17 Create Requisition...................................................................................................................... 18 Approve Requisition..................................................................................................................18 Process Requisition Lines........................................................................................................18 Manage Requisition Lifecycle...................................................................................................19 Amend Requisition..................................................................................................................... 19 Create Purchase Order..............................................................................................................19 Approve Purchase Order...........................................................................................................20 Dispatch Purchase Order..........................................................................................................20 Manage Purchase Order Lifecycle............................................................................................ 20 Amend Purchase Order.............................................................................................................20

1.7 Manage Requisitions...............................................................................18

1.8 Manage Purchase Orders........................................................................19

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1.9 Manage Invoices......................................................................................21

1.9.1 1.9.2 1.9.3 1.9.4 1.9.5 Submit Invoices..........................................................................................................................21 Receive and Process Invoices..................................................................................................21 Audit Invoices.............................................................................................................................22 Approve Invoices.......................................................................................................................22 Record Accounting for Invoices...............................................................................................22

1.10 Manage Payments..................................................................................22

1.10.1 Prepare and Record Payments...............................................................................................23 1.10.2 Process Payment Files............................................................................................................23 1.10.3 Record Accounting for Payments..........................................................................................23

1.11 Manage Accounts Payable Balances...................................................24

1.11.1 Analyze Accounts Payable Balances.....................................................................................24 1.11.2 Manage Accounts Payable Disputes......................................................................................24 1.11.3 Close Payables Period.............................................................................................................24

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Disclaimer This Release Content Document (RCD) describes product features that are proposed for the specified release of Oracle Fusion. This document describes new functionality only. This document in any form, software or printed matter, contains proprietary information that is the exclusive property of Oracle. Your access to and use of this confidential material is subject to the terms and conditions of your Oracle Software License and Service Agreement, which has been executed and with you agree to comply. This document and information contained herein may not be disclosed, copied, reproduced or distributed to anyone outside Oracle without prior written consent of Oracle. This document is not part of your license agreement nor can it be incorporated into any contractual agreement with Oracle or its subsidiaries or affiliates. This document is for informational purposes only and is intended solely to assess the business benefits of upgrading to Fusion, and assist you in planning for the implementation and upgrade of the product features described. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described in this document remains at the sole discretion of Oracle.

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1 Procurement
The procurement process allows organizations to reduce spending on goods and services, streamline procurement processes, and enforce policy compliance. You can manage negotiations, agreements, requisitions, purchase orders, invoices, and payments.

1.1 Set Up Procurement

Set up procurement to ensure that proper organizational policies and controls are in place. 1.1.1 Define Sourcing Configuration Define and maintain setup components for Sourcing including negotiation styles, negotiation templates, cost factor lists, and attribute lists. Tasks included within this activity are: Manage Negotiation Styles Manage Requirement Section Lookup Manage Attribute Group Lookup Manage Attribute Lists Manage Cost Factors Manage Cost Factor Lists Manage Negotiation Templates Manage Sourcing Value Sets Manage Sourcing Descriptive Flexfields

1.1.2 Define Supplier Configuration Define and maintain setup components prior to creating suppliers including lookups, category hierarchy, supplier numbering, supplier value sets, and supplier descriptive flexfields. Tasks included within this activity are: Specify Supplier Numbering Manage Supplier Type Lookup Manage Business Classification Lookup Manage Minority Group Lookup Manage Tax Organization Type Lookup Manage Supplier Products and Services Category Hierarchy Manage Supplier Value Sets Manage Supplier Descriptive Flexfields

1.1.3 Define Self Service Procurement Configuration Define and maintain profile options and category hierarchy for Self Service Procurement. Define and maintain flexfields for information templates. Tasks included within this activity are: Manage Information Template Descriptive Flexfields Manage Information Template Value Sets Manage Self Service Procurement Profile Options Manage Catalog Category Hierarchy

1.1.4 Define Supplier Contracts Configuration Define and manage setup related to supplier contracts including contract types and content

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that can be used consistently across contracts. Tasks included within this activity are: Specify Supplier Contract Management Business Function Properties Manage Contract Payment Terms Manage Contract FOB Lookups Manage Contract Freight Term Lookups Manage Contract Procurement Application Integrations Manage Contract Line Types

1.1.5 Define Requisition Configuration Configure requisition defaults for use in your organization's procurement process. Tasks included within this activity are: Manage Requisition Descriptive Flexfields Manage Requisition Value Sets

1.1.6 Define Purchasing Configuration Define and maintain setup components for Purchasing including procurement business function, requisitioning business function, change order templates, document styles, procurement agents, and lookup codes. Tasks included within this activity are: Manage Purchasing Line Types Manage Document Styles Manage Change Order Templates Manage Purchasing Value Sets Manage Purchasing Descriptive Flexfields Configure Procurement Business Function Configure Requisitioning Business Function Manage Common Options for Payables and Procurement Manage Procurement Category Hierarchy Manage Procurement Agents

1.1.7 Define Payables Define setup to implement the parts of applications specific to Oracle Fusion Payables. Tasks included within this activity are: Manage Procurement Agents Manage Payables Calendars Manage Payment Terms Manage Common Options for Payables and Procurement Manage Invoice Options Manage Payment Options Manage Tax Reporting and Withholding Tax Options Manage Payables Lookups Manage Payables Descriptive Flexfields Terminate Approval Task Flow Manage Payables Profile Options Manage Payables Document Sequences Manage Invoice Tolerances Manage Invoice Holds and Releases Manage Aging Periods

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Manage Tax Regions Manage Reporting Entities Manage Tax Codes Manage Withholding Groups Manage Withholding Certificates Manage Interest Rates

1.1.8 Define Disbursements Configure the ability to disburse funds, such as setting up payment methods with validations and payment process profiles. Tasks included within this activity are: Manage Disbursement Lookups Manage Disbursement Flexfields Manage Payment Methods Manage Payment Method Defaulting Rules Manage Payment Codes Manage Payment Process Profiles Manage Disbursement System Options

1.1.9 Define Payments Security Set encryption and masking options for payment data. Tasks included within this activity are: Manage System Security Options

1.1.10 Configure Payment System Connectivity Configure options that are shared by disbursement and funds capture, such as formats, transmission details, and payment systems. Tasks included within this activity are: Manage Payment System Connectivity Lookups Manage Payment System Connectivity Flexfields Manage Code Map Groups Manage Formats Manage Transmission Configurations Manage Payment Systems View Validations

1.2 Manage Supplier Negotiations

Manage supplier negotiations to actively source the best goods and services for the organization. You can create, amend, manage, evaluate and award negotiations. 1.2.1 Create Negotiation Create RFIs, RFQs, and auctions to negotiate the terms and pricing for products and services with suppliers. Quickly create negotiations by using negotiation templates that standardize best practices or by duplicating past negotiations. Incorporate aggregated requisition demand from different business units or renegotiate expiring agreements with a single mouse click. Leverage your buying power and capture volume discounts. Source for best value by defining multiple-attribute weighted scoring models that measure how closely a supplier's offer matches

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the product specifications. Negotiate total cost by requesting suppliers to break down their price into the individual cost drivers. Through internal collaboration, engage subject matter experts from outside the procurement organization to ensure accurate specifications and business buy-in. Tasks included within this activity are: Create Negotiation from Requisition Create Negotiation from Agreement Create Negotiation Online Create New Negotiation Round Submit Negotiation Update Draft Negotiation Delete Draft Negotiation

1.2.2 Capture Supplier Response Solicit suppliers to acknowledge the invitation to a negotiation by communicating their intent to participate in the event. Request that they accept the procurement organization standard terms and conditions before they can respond to the negotiation. Enable suppliers to enter responses online or prepare their responses offline on a spreadsheet, which they then upload to the negotiation. Allow supplier contacts to collaborate in the creation of the response, and save a PDF copy of their response to keep for their own record. Let suppliers monitor auction activity in real-time and react to changes in competitive conditions from a single page. Enable suppliers to acknowledge amendments, manage contractual deliverables, and review award decisions online. Tasks included within this activity are: Identify Negotiation Opportunities Manage Negotiation Deliverables Update Draft Response Create Response Submit Response Monitor Negotiation Acknowledge Participation Manage Negotiation Response Manage Negotiation Amendment

1.2.3 Manage Negotiation Lifecycle Maintain negotiations throughout their lifecycle from the moment they are published to the time they are completed. Track the status of tasks assigned to collaboration team members and modify the team as needed. Adjust the negotiation clock by pausing, closing, or extending the negotiation, or simply cancel the event. Use the real-time negotiation monitor to track activity in the event, and view how potential savings and other metrics are updated as supplier responses are submitted. Verify which suppliers are online, what actions they are performing, and lock out suppliers that are just collecting competitive information without having an active participation in the negotiation. Add new suppliers to the invitation list. Disqualify unsuitable supplier responses. Drive sealed negotiations through the unlocked and unsealed phases. Narrow down the field and start a new round of negotiation with the best qualified suppliers. Tasks included within this activity are: Search Negotiation Manage Contractual Deliverables View Negotiation Work Area Cancel Negotiation Monitor Negotiation Disqualify Response

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Maintain Negotiation Research Suppliers Manage Negotiation Deliverables

1.2.4 Evaluate Negotiation Rank suppliers based on response price or multiple attribute weighted scoring. Analyze supplier responses online or offline by downloading all responses to a feature-rich spreadsheet. Compare the responses side-by-side, and use graphs to better understand their strengths. Score the suppliers performance automatically based on predefined criteria, or manually based on subjective evaluation. Apply predefined knockout criteria to quickly exclude from the shortlist the suppliers that do not meet the minimum requirements. Tasks included within this activity are: Score Supplier Responses Analyze Negotiation Response Complete Request for Information Shortlist Suppliers

1.2.5 Amend Negotiation Create a version of an ongoing negotiation while the working copy of the document is still live. Upon submission of the new amendment, automated notifications alert suppliers of the changes and require their acknowledgment before further participation in the negotiation is allowed. All involved parties can review the differences between the original and amended version of the document. Full visibility into the negotiation revision history provides a complete audit trail. Tasks included within this activity are: Create Negotiation Amendment Delete Draft Amendment Update Draft Amendment Submit Amendment

1.2.6 Award Negotiation Record your award decisions online or upload them from a spreadsheet. Award the entire negotiation to a single response or split awards across suppliers. View in real-time how different award decisions impact the projected savings and other metrics in the negotiation. Use the automatic award recommendation as a benchmark, and compare the results to the actual award decisions. Control when award decisions are shared with suppliers. Accept the automatic allocation of sourced products to requisition demand, or manually fine tune the distribution of the award to requisition demand that originated the negotiation. Create orders and agreements based on the negotiated terms and pricing. Enable the agreements for execution in different requisitioning business units. Tasks included within this activity are: Allocate Award to Requisition Lines Record Award Decision Complete Award Review Award Decision

1.3 Manage Supplier Agreements

Manage supplier agreements to ensure accurate pricing, terms and conditions, and policies with

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suppliers. You can create, approve, amend, dispatch, and manage supplier agreements. 1.3.1 Manage Supplier Agreement Standards and Business Rules Manage supplier contract templates, terms and conditions library, and document configuration rules Tasks included within this activity are: Edit Terms Template View Rule Disable Rule View Folder Validate Terms Template Import Clause Purge Contract Import Tables Mass Import Clauses from XML file Delete Section Maintain Constants Create Section in Template Analyze Clause Usage Create Clause Version Send Contract Terms Deliverable Notifications Edit Rule Search Numbering Schemes Synchronize Contract Terms Template Text Index Delete Numbering Scheme Update Numbering Scheme Search Questions Optimize Contract Terms Template Text Index Activate Rule Delete Constant View Constant Search Rules Search Terms Templates View Question Sequence Add Clause View Variable View Deliverables Apply Numbering Scheme Synchronize Template View Translated Template Search Sections Build Keyword Search Index for Terms Library View Numbering Scheme View Section Delete Rule Disable Question Duplicate Rule Delete Template Localize Clause Synchronize Clause Text Index Create Rule Update Question Duplicate Template Purge Contract Temporary Tables Adopt Global Clauses for a New Business Unit Create Terms Template Remove Clause Remove Section in Template

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Edit Clause View Clause Update Variable Preview Terms Template Delete Clause View Terms Template Maintain Variables View Question Maintain Folders Delete Question Delete Variable Search Constants Reorder Deliverables Update Constant Search Folders Search Clauses Maintain Sections Add Section to Template Adopt Clause Submit Clause Maintain Questions Maintain Terms Library Deliverables Update Deliverable Submit Terms Template Approve Clause Maintain Numbering Schemes Generate PDF Contract for Text Search Create Terms Template Revision Delete Folder View Clauses Using Variable Update Section in Template Search Variables Update Folder Approve Terms Template Update Section Compare Clause Duplicate Clause Import Contract Clauses Create Clause Move Terms

1.3.2 Create Supplier Agreement Create agreements with pre-negotiated terms and conditions and optional catalog pricing to leverage buying volume and support touchless buying. Quickly create agreements online using configurable defaults and optional file upload or by duplicating past agreements. Support collaborative authoring, enabling buyers to establish the terms and suppliers or catalog administrators to provide the catalog content. Implement awards from sourcing events in the form of agreements to realize negotiated savings. Check the agreement for accuracy, completeness, and any deviation from the current policies, and submit it for approval. Tasks included within this activity are: Create Supplier Agreement from Negotiation Create Supplier Agreement Online Import Supplier Agreements Cancel Supplier Agreement Author Supplier Agreement Catalog Content Update Draft Supplier Agreement

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Create Supplier Agreement from Contract Fulfillment Line Submit Supplier Agreement

1.3.3 Approve Supplier Agreement Electronically route the agreement to all identified approvers and record the approval actions. Determine the routing using a flexible rules engine which can be configured to accommodate an organization's unique business requirements. Approvers can review the document details and add comments and attachments before approving, rejecting, or routing the document to additional approvers. Initiate the retroactive purchase price adjustments process upon approval of the amendment as applicable. Tasks included within this activity are: Review Supplier Agreement Request Reassign Supplier Agreement Request Request Supplier Agreement Information Approve Supplier Agreement Request Reject Supplier Agreement Request Respond to Supplier Agreement Information Request Evaluate Supplier Agreement Approval Status

1.3.4 Dispatch Supplier Agreement Publish the agreements and subsequent amendments in customizable layouts. Communicate the agreements to suppliers for acknowledgment or on demand, including the attachments, contract terms and contractual deliverables. Choose from a list of flexible communication methods, such as print, fax, or e-mail. Solicit and record supplier's acknowledgment. Tasks included within this activity are: Acknowledge Supplier Agreement Communicate Supplier Agreement to Supplier

1.3.5 Manage Supplier Agreement Lifecycle Manage the agreement throughout its lifecycle, from opening it for execution, reassigning its owner, tracking its fulfillment status, renegotiating the agreement when the term is expiring, to finally retiring the document. Control fulfillment cycle by putting the agreement on hold or freezing it, and transferring the document. Tasks included within this activity are: Freeze Supplier Agreement Unfreeze Supplier Agreement Track Supplier Agreement Lifecycle Reassign Supplier Agreement Manage Supplier Agreement Deliverables Transfer Blanket Purchase Agreement Hold Supplier Agreement Release Supplier Agreement Hold Create Negotiation from Blanket Agreement Retire Supplier Agreement

1.3.6 Amend Supplier Agreement Enable key stakeholders of the agreement, including the buyer, the catalog administrator, and the supplier, to initiate changes to the agreement as and when required. The changes include the terms and conditions as well as updates to catalog content associated with the agreement.

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Configure changes as internal to the organization or as those impacting supplier. Maintain the change and revision history and compare the original and amended version of the document. Check the document for accuracy, completeness, and any deviation from the current policies. Submit the document for approval and acceptance from the affected parties. Tasks included within this activity are: Create Supplier Agreement Cancellation Request Create Supplier Agreement Change Order Cancel Supplier Agreement Change Order Update Supplier Agreement Change Order Details Submit Supplier Agreement Amendment

1.4 Manage Supplier Information

Manage supplier related information, such as registration, profile, supplier item 1.4.1 Manage Supplier Item Information Manage a list of suppliers, supplier sites, manufacturers or distributors that are either authorized for or restricted from supplying critical items or categories. Define an approved supplier list entry to be exclusive to a single ship-to organization or apply it across ship-to organizations serviced by a procurement business unit. Drive purchase order automation by specifying ordering requirements on an approved supplier list entry agreed on with the supplier, such as minimum order amount. Identify supplier capacity thresholds for supply chain planning. Maintain references to source agreement documents. Create approved supplier list entries automatically from blanket agreements to establish the supplier as an approved supply source. Set dates for periodic reviews of approved supplier list entries to re-verify supplier qualifications. Maintain approved supplier list entries to reflect the current business status with suppliers. Tasks included within this activity are: Create Approved Supplier List Entry Change Approved Supplier List Entry Review Approved Supplier List Entries

1.4.2 Manage Supplier Registrations Collect and review information about prospective suppliers through a self-guided registration flow. Prospective suppliers may save their in-process registrations to gather requested information and return later to submit the registration. Deploy supplier registration by selecting registration components that the host procurement business unit requires, such as products and services categories or bank account information. Evaluate whether the company should be considered a new source of supply by routing registrations through a collaborative review process. Determine the routing using a flexible rules engine which is configured according to business requirements. Review registration details, add comments and attachments, as well as other approvers, and take approve or reject action. Edit registrations during approval to ensure clean data is promoted to the supplier master after approval. Send notifications to the appropriate contacts on the registration when the review is complete. Tasks included within this activity are: Review Supplier Registration Status Approve Supplier Registration Register Supplier

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1.4.3 Manage Supplier Profiles Ensure supplier profile information is kept current and accurate to drive efficient transaction flows with suppliers. Core profile information includes addresses, contacts, tax profiles, bank account details, business classifications, and products and services categories. Maintain terms for conducting business with suppliers in addition to internal controls and policies that determine how transactions are processed, such as PO match rules or receiving tolerances. Define policies centrally and have them leveraged by the procuring business units in their respective supplier relationships to prevent disparate buying processes. Maintain the supplier relationship with each business unit in the supplier profile. Proactively monitor supplier records requiring action, for example, suppliers with incomplete setup or expiring certifications. Extend profile maintenance to suppliers to self-manage their information, and maintain visibility by requiring internal review. Tasks included within this activity are: Request Supplier Contact Change Update Supplier Contacts Approve Supplier Contact Change Request Create Supplier Review Supplier Profiles Update Supplier Profile Merge Suppliers View Supplier Profile Import Suppliers Access Supplier Collaboration

1.5 Manage Procurement Catalog

Manage catalog related information, such as content zones, smart forms, catalogs, and information templates. 1.5.1 Manage Procurement Content Setup and maintain procurement content such as agreements, item master items, supplier web stores, smart forms, public shopping lists, and informational web resources. Organize procurement content in a hierarchical structure for browsing and navigation. Enable procurement content access by assigning procurement content to individual users or business units. Tasks included within this activity are: Manage Content Zone Define Procurement Content Manage Catalog Category Hierarchy

1.6 Manage Supplier Contracts

The manage supplier contract business process covers the entire lifecycle of a contract, from setting up contract policies and standards, to creating contracts, approving, monitoring, and contract closeout. Standard clauses, terms templates, and business rules are set up in the Contract Terms Library. With policies in place, the legal language on a contract can be quickly created from approved templates, expediting contract creation and approval. This streamlined process leads to standardized business terms, reduced risk and costs, and improved business performance. 1.6.1 Manage Supplier Contract Policy and Standards Maintain a central library of standard clauses, terms templates, and policy rules across the

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enterprise. Contract terms templates enable rapid assembly and creation of contracts by providing standard contract boilerplate language for each type of purchase. They also promote consistency in style and layout. Define policy rules that specify which clauses are mandatory for a contract or protected against updates during negotiation. Administrators can set up standard options, available alternates and define incompatible clauses. Clause analysis can be performed by legal or finance to quickly identify all contracts that use certain language that is considered risky or to find clauses that have been frequently modified. These can either be revised to be compliant with industry standards or tighter controls could be put in place to avoid such modifications. Policy rules ensure the quality of the contract document and reduce the need for expensive legal or administrative oversight during the authoring process. The Contract Terms Library can be used to establish company wide standards and enforce them on a global basis. Regional administrators may adopt and tailor standards for local or countryspecific regulations or translate them to a local language. Administrators can also track the adoption and usage of clauses to ensure that contract best practices are consistently used across the regions. Tasks included within this activity are: Maintain Variables Send Contract Terms Deliverable Notifications View Constant Maintain Questions Edit Terms Template Generate PDF Contract for Text Search Create Terms Template Revision Disable Rule Create Rule Revision View Terms Template Maintain Numbering Schemes Edit Rule Create Rule Adopt Clause Build Keyword Search Index for Terms Library Purge Contract Import Tables Import Contract Clauses Search Folders View Question Search Questions Create Clause View Question Sequence Search Constants Submit Clause Maintain Terms Library Deliverables View Numbering Scheme Maintain Constants Maintain Folders Search Variables Create Clause Version Edit Clause Search Clauses Maintain Sections Search Terms Templates Search Sections View Section Localize Clause View Variable Search Numbering Schemes Search Rules Preview Terms Template View Rule

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Approve Terms Template Validate Terms Template Analyze Clause Usage Purge Contract Temporary Tables Create Terms Template Submit Terms Template Approve Clause View Folder Adopt Global Clauses for a New Business Unit Activate Rule View Clause

1.6.2 Create Supplier Contract Create and manage contracts that describe the business relationship a party has with its suppliers. Define the parties to the contract, contract owner, start and end date, lines, deliverables, documents, notes and interactions. Author legal terms and conditions by applying terms templates and using Contract Expert. Check for deviations from standards, validate and submit the contract for approval. Tasks included within this activity are: Define General Contract Information Review Contract Deviations Edit Protected Terms and Conditions Download Contract by External Party Cancel Contract Manage Contract Documents Add Additional Standard Terms and Conditions Search Contracts Upload Contract Manage Risks Delete Contract Enter Notes and Interactions Define and Negotiate Items and Services for Future Purchases Define Standard Terms and Conditions Search Contract by Text Create Version View Contract Define and Negotiate Items and Services Define Nonstandard Terms and Conditions Submit Contract for Approval Assign Contract Owner Duplicate Contract Validate Contract Print Contract Define Purchase Commitments Define Contract Parties Download Contract View Terms and Conditions

1.6.3 Approve Supplier Contract Manage the contract as it is guided through the approval process. Tasks include initial assignment, delegation to subsequent approvers, and handling the approval or rejection of contract. Tasks included within this activity are:

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Request Contract Information Reassign Contract Delegate Contract Capture Supplier Acceptance Approve Contract Submit Information Reject Contract View Contract

1.6.4 Monitor Supplier Contract Create and manage contract deliverables including tracking their completion progress, related attachments, notification alerts, and requisitions. Deliverables can be used to measure contract hurdles to signify when levels of spend or progress have occurred triggering an alert to update of the contract if necessary. Tasks included within this activity are: Track Purchasing Activity Manage Contract Hold Initiate Purchase Order View Contract Fulfillment Complete Contract Fulfillment Define Contract Fulfillment Lines Initiate Purchase Agreement Manage Contract Fulfillment

1.6.5 Amend Supplier Contract Manage changes to existing contract content that describes the business relationship the contract defines. Modify start and end date, and add amendment effective date. Modify legal terms as appropriate, check for deviations from standards, validate and submit the contract for approval. Tasks included within this activity are: Download Contract by External Party Revert Changes Create Version Validate Contract Add Additional Standard Terms and Conditions Define Nonstandard Terms and Conditions Search Contracts View Amendment Summary View Contract History Define Standard Terms and Conditions Print Contract Review Contract Deviations Download Contract Upload Contract Submit Contract for Approval Edit Contract Details Edit Protected Terms and Conditions Search Contract by Text

1.6.6 Close Supplier Contract Close the contract after it has expired. Closed contracts cannot be referenced by active orders

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or amended. Tasks included within this activity are: Close Line Close Contract

1.7 Manage Requisitions

Manage requests for goods and services that are needed to support the organization. You can create, approve, amend, and manage requisitions. 1.7.1 Create Requisition Add items through searching and browsing the catalog and supplier web stores. Add requisition lines that are not available in the catalog through noncatalog requests and smart forms. Quickly create requisitions online by duplicating past requisitions. Enable advanced users to perform quick requisition line entry without using search and browse. Import requisitions from other products or other applications. Validate and submit requisitions for approval. Modify requisition during approval if the approver has been granted the required permission. Tasks included within this activity are: Create Noncatalog Requests Update Draft Requisition Create Requisition from Catalogs Delete Draft Requisition Duplicate Existing Requisition Import Requisition Create Requisition by Entering Requisition Lines Submit Draft Requisition

1.7.2 Approve Requisition Electronically route the requisition to all identified approvers and record the approval actions. Determine the routing using a flexible rules engine which can be configured to accommodate the organizations unique business requirements. Review requisition details, add comments and attachments during approval. Perform approval actions including approve, reject, or route to additional approvers. Tasks included within this activity are: Respond to Requisition Information Request Request Requisition Information Review Requisition Request Reassign Requisition Request Reject Requisition Request Approve Requisition Request

1.7.3 Process Requisition Lines Search and view requisition lines. Initiate sourcing event for requisition lines requiring negotiation. Initiate touchless order creation for requisition lines with predetermined source. Return incomplete/non-compliant requests to requesters. Reassign ownership of requisition lines. Split requisition lines to enable buying from multiple sources. Substitute non-standard items with items from previously negotiated catalogs. Tasks included within this activity are:

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Evaluate Approved Requisition Lines Reassign Requisition Lines to Buyer Analyze Requisition Lines Return Requisition Lines Update Requisition Lines

1.7.4 Manage Requisition Lifecycle Search and view requisition and track its fulfillment status. View the lifecycle of a requisition from submission to payment. Initiate change orders for requisitions already placed on purchase orders. Reassign ownership of requisitions. Tasks included within this activity are: Reassign Requisition Track Requisition Lifecycle

1.7.5 Amend Requisition Withdraw approved requisitions not yet placed on purchase orders. Update requisitions withdrawn, returned by buyers or rejected by the approvers. Cancel an entire requisition or selected lines. Review and submit changes for approval. Tasks included within this activity are: Cancel Requisition Withdraw Requisition Update Requisition Submit Requisition

1.8 Manage Purchase Orders

Manage purchase orders with suppliers to ensure timely delivery of goods and services. You can create, approve, amend, dispatch, and manage purchase orders. 1.8.1 Create Purchase Order Automate the order creation from catalog sourced requisition lines. Review and manually process the noncatalog requests or those requiring negotiation. Quickly create orders online using configurable defaults or by duplicating past orders. Implement awards from sourcing events in the form of orders to realize negotiated savings. Import orders from external systems to integrate with fulfillment and settlement processes. Check the order for accuracy, completeness, and any deviation from the current policies, and submit it for approval. Tasks included within this activity are: Submit Purchase Order Cancel Purchase Order Create Purchase Order from Negotiation Create Purchase Order from Requisition Update Draft Purchase Order Create Purchase Order from Requisition Automatically Create Purchase Order from Contract Fulfillment Line Create Purchase Order Online Import Purchase Orders

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1.8.2 Approve Purchase Order Electronically route the order to all identified approvers and record the approval actions. Determine the routing using a flexible rules engine which can be configured to accommodate an organization's unique business requirements. Approvers can review the document details and add comments and attachments before approving, rejecting, or routing the document to additional approvers. Tasks included within this activity are: Evaluate Purchase Order Approval Status Approve Purchase Order Request Request Purchase Order Information Reject Purchase Order Request Reassign Purchase Order Request Respond to Purchase Order Information Request Review Purchase Order Request

1.8.3 Dispatch Purchase Order Publish the orders and subsequent amendments in customizable layouts. Communicate the orders to suppliers for acknowledgment or on demand, including the attachments, contract terms and contractual deliverables. Choose from a list of flexible communication methods, such as print, fax, e-mail, or XML. Solicit and record supplier's acknowledgment. Tasks included within this activity are: Acknowledge Purchase Order Communicate Purchase Order to Supplier

1.8.4 Manage Purchase Order Lifecycle Manage the order throughout its lifecycle, from opening it for execution, reassigning its owner, tracking its fulfillment status, to finally retiring the document. Control fulfillment cycle by putting the order on hold, freezing it, and closing it for receiving and invoicing activity. Tasks included within this activity are: Close Purchase Order for Receiving Reopen Purchase Order Track Purchase Order Lifecycle Manage Contractual Deliverables Manage Purchase Order Deliverables Unfreeze Purchase Order Release Purchase Order Hold Close Purchase Order Close Purchase Order for Invoicing Freeze Purchase Order Hold Purchase Order Retire Purchase Order Reassign Purchase Orders

1.8.5 Amend Purchase Order Enable key stakeholders of the order, including the requester, the buyer and the supplier, to initiate changes to the orders and when required. Configure changes as internal to the organization or as those impacting supplier. Maintain the change and revision history and compare the original and amended version of the document. Facilitate mass changes to orders affected by common business events, such as catalog price changes. Check the document for

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accuracy, completeness, and any deviation from the current policies. Submit the document for approval and acceptance from the affected parties. Tasks included within this activity are: Create Purchase Order Change Order Submit Purchase Order Amendment Cancel Purchase Order Change Order Create Purchase Order Cancellation Request Update Purchase Order Change Order Details Price Purchase Orders Retroactively

1.9 Manage Invoices

Use the manage invoices process to receive and process supplier invoices in an accurate and timely fashion. Validate invoices against purchase orders and receipts to ensure proper matching and prevent over billing. Additionally, process invoices from other subsystems such as expense reports, customer refunds, and Procurement returns. Approve invoices at the invoice level. Audit invoices, quickly resolve invoice holds, and manage disputes with suppliers. Properly record invoice accounting entries to meet multiple reporting requirements. 1.9.1 Submit Invoices Expedite invoice processing by allowing authorized suppliers to enter their invoices against approved purchase orders. Enforce company policies for matching invoices to purchase orders by ensuring defined tolerances and receiving and inspection thresholds are met, if required. For goods and services provided without a purchase order, suppliers can submit invoices that will be automatically routed for approval. Suppliers can use sophisticated searches to quickly view invoices and related payments regardless of whether invoices were submitted online or processed manually by the payables department. Suppliers can monitor the status of invoices and answer common questions, such as when an invoice will be paid. Tasks included within this activity are: Create Unmatched Invoice from Supplier Portal View Payables Invoice using Supplier Portal Create Matched Invoice from Supplier Portal View Payables Payment using Supplier Portal

1.9.2 Receive and Process Invoices Receive and create invoices from external systems, spreadsheets, scanned images, or manual entry. Ensure accurate invoice creation through invoice validation, automatic tax calculation, and invoice matching to purchase orders and receipts. Tasks included within this activity are: View Installments Initiate Approval Task Flow Hold Invoice from Approval Task Flow Force Approve Payables Invoice Release Hold View Approval and Hold History Import Payables Invoices Modify Invoice Tax Details Apply or Unapply Prepayments Validate Payables Invoice Place Hold Delete Payables Invoice

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View Scanned Payables Invoices Cancel Payables Invoice View Payables Holds Create Payables Invoice Correct Import Validation Errors Create Invoice in Spreadsheet

1.9.3 Audit Invoices Review invoice information, such as payment status, accounting status, and available and applied prepayments. View a complete audit trail of approval and holds history. Tasks included within this activity are: View Approval and Hold History Validate Payables Invoice Cancel Payables Invoice View Payables Holds Force Approve Payables Invoice Edit Payables Invoice View Payables Payment Manage Payables Invoices Place Hold Release Hold Initiate Approval Task Flow Apply or Unapply Prepayments View Payables Invoice Hold Invoice from Approval Task Flow

1.9.4 Approve Invoices Use rules to automatically route invoices for approval based on approver groups, multi-stage approvals with static and dynamic approval lists, and various approval hierarchies. View a complete audit trail of approval history throughout the invoice life cycle. Tasks included within this activity are: Approve Payables Invoice

1.9.5 Record Accounting for Invoices Record, review and post accounting entries related to supplier invoices. Configure accounting rules and view accounting impact of invoice transactions. Tasks included within this activity are: Submit Unaccounted Transactions Report Create Mass Additions Apply Missing Exchange Rates Transfer Costs from Payables to Costing

1.10 Manage Payments

Manage and process payments to suppliers and employees so that they are paid accurately and on time. Prepare and record payments, submit payments for disbursement processing, reconcile payments, and record payment accounting entries.

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1.10.1 Prepare and Record Payments Process payments automatically for invoices from multiple organizations and currencies. Review cash requirement information for planning pay runs and disbursements. Use predefined selection criteria to automatically select invoices for payment. Schedule payment processing activities. Tasks included within this activity are: Submit Cash Requirement Report Submit Payment Process Request Manage Payment Process Requests Process Payment Process Request Stop Payables Payment Edit Payables Payment Manage Payables Payments View Payment Process Request View Payables Payment Void Payables Payment Manage Payment Process Request Templates Create Payables Payment Reissue Payables Payment

1.10.2 Process Payment Files Group selected payments into payment files based on the processing needs of each payment. Conditionally group payments into separate payment files based on attributes such as currency, business unit, and payment date. Transmit the resulting payment files electronically, or print to physical payment documents. Create various internal and external reports after a payment file is complete, such as remittance information sent to suppliers. Under certain conditions, the entire activity can be performed without human intervention, called straight though processing. Tasks included within this activity are: Submit Payment File Creation Program Submit Separate Remittance Advice Confirm Payments Submit Payment File Register Print Payment Documents Submit Regulatory Reporting Reprint Payment Documents Resolve Payment File Transmission Failure Format Payment Documents Transmit Payment File Resolve Payment File Validation Errors Submit Positive Pay File Record Print Status Submit Payment File Accompanying Letter Manage Payment Files View Payment Reset Periodic Sequence Values View Payment File

1.10.3 Record Accounting for Payments Record, review and post accounting entries related to supplier payments. Configure accounting rules and view accounting impact of payment transactions. Tasks included within this activity are:

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Submit Unaccounted Transactions Report Apply Missing Exchange Rates

1.11 Manage Accounts Payable Balances

The manage accounts payables balances process enables you to maintain an accurate status of the relationship with each supplier. Analyze accounts payable balances for invoices and payments, and manage accounts payable disputes. 1.11.1 Analyze Accounts Payable Balances Review information on cash requirements, discounts, payment exceptions, or payments per bank account. Report on outstanding supplier liability and outstanding prepayments that can be applied against unpaid invoices. Create tax reports to meet local and international tax reporting requirements, such as withholding tax and 1099 income tax reporting. Tasks included within this activity are: Create French DAS2 Extract File Report Submit Invoice Reports Create French DAS2 Contractor Letters Report Submit Payments Reports Submit Withholding Tax Reports Submit Credit Memo Matching Report Create French DAS2 Verification Report Submit 1096/1099 Reports View Payables Invoice Manage French DAS2 Summary Manage French DAS2 Information Create French DAS2 Type 210 Updates Report

1.11.2 Manage Accounts Payable Disputes Resolve problematic invoices, such as those with holds or insufficient approvals by automatically routing to the appropriate contact for review and action. Monitor where invoices stand in the payment process and notify suppliers of payment exceptions to expedite issue resolution. Tasks included within this activity are: Cancel Payables Invoice Create Payables Invoice Apply or Unapply Prepayments Submit Credit Memo Matching Report Manage Payables Invoices Force Approve Payables Invoice Release Hold Validate Payables Invoice View Approval and Hold History Initiate Approval Task Flow

1.11.3 Close Payables Period Reconcile payables accounting and transaction activities, release invoice holds, detect and correct discrepancies, and close the payables period. Monitor and coordinate the opening and closing of payables periods. Tasks included within this activity are:

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Run Payables Data Extraction Program Submit Period Close Reports Manage Payables Invoices Submit Unaccounted Transactions Report Review Payables to General Ledger Reconciliation Report Manage Payables Accounting Periods Release Hold

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