In this topic you will learn how to View and Analyze the PO Activity Summary Page to determine why there is a remaining encumbrance amount on a PO Line, so the encumbrance can be canceled or adjusted, if necessary.

Click the Purchasing link.

Click the Activity Summary link.

Note: If you were not already in a Purchase Order page, navigate to the PO Activity Summary page as follows:

Purchasing > Purchase Orders > Review PO Information > Activity Summary

Enter your Business Unit, if necessary.

Enter the desired information into the PO Number field. Enter "00333206".

View the Details page:

• PO Status: The status should indicate Dispatched for most POs, but the status could indicate Approved (someone may have changed the PO, but it was not yet Dispatched or Budget Checked), Canceled or Complete.

• Order Qty: The quantity ordered.

• Amount Ordered: The total amount of the PO line

Click the Line Details Button.

Click the Receipt tab to View the Receipt page:

• Qty Received: The quantity received in the shipment for the PO line.

• Qty Accepted: The quantity accepted from the shipment.

• Open Quantity: The quantity not yet received.

• Open Amount: The amount not yet received.

Note: If the Receipt button appears on the PO line (i.e. the icon next to the Currency field),  this indicates that a Receipt(s) has been entered in PeopleSoft for the PO line. If a Receipt has not been entered in PeopleSoft for the PO line, the Receipt button would not appear on this page.

Click the Invoice tab to View the Invoice page:

• Quantity Invoiced: The quantity (invoiced) paid for the PO line.

• Amt Invoiced: The amount (invoiced) paid for the PO line.

Note: If the Invoice (Voucher) button appears on the PO line (i.e. the icon next to the Currency field),  this indicates that a payment(s) has been made by Accounts Payable for the PO line. If a payment has not been made by AP for the PO line, the Invoice (Voucher) button would not appear on this page.

Although, the Invoice (i.e. the document from the Vendor) and Voucher (i.e. the document generated by Accounts Payable in the PeopleSoft system to pay the vendor invoice) are really two separate documents, PeopleSoft refers to a Voucher as an Invoice.

Vouchers are generated by AP in the PeopleSoft system for anything that shows payment of funds in your Department:

•Invoice (for Vendors)

•Advance Payment (for Direct Pay and Travel)

View the Qty Matched and Amt Matched.

Click the RTV tab.

View the Qty Returned and the Amount Returned.

Analyzing the PO Activity Summary Page

When analyzing the PO, the general order of review will be as follows:

Receipt > Purchase Order > Voucher

The issues to consider are:

• Receipt:

   Does the item(s) need Receipt in PeopleSoft?

   Does a Receipt (Line) need to be canceled?

• Purchase Order:

   Does the PO or line(s) on the PO need to be changed or cancelled?

• Voucher: 

   Does the last Voucher need to be Finalized?

Four scenarios have been found to occur when analyzing the PO Activity Summary page. These four scenarios arise from the Receipt (Scenario #1 & 2), Purchase Order (Scenario #3) and/or Voucher (Scenario #4) and are as follows:

1. The PO Line has been received (i.e. a Receipt was entered in the PeopleSoft system) and vouchered (i.e. paid by Accounts Payable), but there is a Remaining Amount;

2. The PO Line item(s) were ordered and physically received in the Department, but not vouchered 

(i.e. paid by Accounts Payable);

3. The PO Line(s) need to be canceled and/or changed; and/or

4. The Receipt, Invoice and matched quantities are equal, but the dollar amount invoiced is less than (<) the PO Line amount on any of the PO Line(s).

Analyzing these four scenarios are shown in the steps that follow.

1. The PO Line has been received (i.e. a Receipt was entered in the PeopleSoft system) and vouchered (i.e. paid by Accounts Payable), but there is a Remaining Amount:

Analysis:

Determine whether the Receipt or a line(s) on the Receipt needs to be canceled by first determining the Match Rule. The Match Rule set for a PO by Purchasing will determine whether the items listed on the invoice require receipt in the PeopleSoft system prior to payment by Accounts Payable.  The Match Rule is located on the Matching page of the PO.

See the "Inquire on a Purchase Order to Determine the Match Rule" topic to view the Match Rules set for a PO and the definitions of the Match Rules.

Solution:

If you find that the Match Rule for the PO was set as "No Match" or "STANDARD" with the Receiving Required flag on the PO Line Details page unchecked, the line(s) on the Receipt needs to be canceled by the department (LSUNO) or Receiving Department (LSUSH). When attempting to cancel a Receipt line, if a message is received advising that the line cannot be canceled because it has already been matched (for payment), the resolution would be finalization of the last Voucher by AP.

 See the "Canceling a Non-Inventory Receipt Line" or the "Canceling an Inventory Receipt Line" topics in the Appendix of this module for instructions on how to cancel a Receipt line.

2. The PO Line item(s) were ordered and physically received in the Department, but not vouchered 

(i.e. paid by Accounts Payable):

Analysis:

Determine if the items need to be received (i.e. entered in the PeopleSoft system) by determining the Match Rule.

See the "Inquire on a Purchase Order to Determine the Match Rule" topic to view the Match Rules set for a PO and the definitions of the Match Rules.

Solution:

• If you find that the Match Rule for the PO was set as "STANDARD" with the Receiving Required flag on the PO Line Details page checked, the item(s) on the PO must to be received in the PeopleSoft system by the department (LSUNO) or Receiving Department (LSUSH). See the "Managing Shipments" manual for instructions on how to enter a Receipt.

• If you find that the Match Rule for the PO was set as "No Match" or "STANDARD" with the Receiving Required flag on the PO Line Details page unchecked and the approved Invoice has been returned to AP by the Department, but the reports do not indicate payment of the Invoice, contact the AP Manager (LSUNO) or the Manager of Payables (LSUSH) to determine the status of the payment.

3. The PO Line(s) need to be canceled and/or changed;

Analysis:

Determine if the PO Line(s) is no longer wanted and will never be delivered or the PO Line(s) need to be changed.

Solution:

Contact Purchasing (i.e. the Buyer) to request that the PO Line(s) be canceled and/or changed.

4. The Receipt, Invoice and matched quantities are equal, but the dollar amount invoiced is less than (<) the PO Line amount on any of the PO Line(s).

Analysis:

The last Invoice (Voucher) can be finalized by Accounts Payable to relieve the remaining encumbrance amount for that PO Line.  Determine if the last Invoice has been returned to AP.

Solution:

The Department should return the final Invoice to AP with a note requesting that the Voucher be finalized.  If the Invoice was returned and the Department was not aware that it was the final Invoice, contact the AP Manager (LSUNO) or Manager of Payable (LSUSH) to request that the Voucher be finalized. The user may opt to request that the last Voucher be canceled via email or by using the Cleanup PO Activity Public query spreadsheet to communicate with AP. 

The users should note the following scenarios prior to contacting AP:

•For PO Lines distributed by Quantity, there will be an automatic finalization process instituted that will finalize the Vouchers by month end (at the end of each period). Therefore, the user would only need to be concerned with the PO Lines distributed by Quantity towards the end of the Fiscal Year.

•PO Lines distributed by Amount (generally Blanket Orders) will not automatically finalize by month end. Finalization of these Vouchers by AP must be requested.

See the "Access the CLEANUP Public Queries That Augment the Procurement & Requisition Budgetary Activity Reports" handout for instructions on how to access and run the CLEANUP Public query; use the query results to request that AP finalize the last Voucher; determine what information must be provided to AP in order for them to finalize the last Voucher; and determine whether the PO is distributed by Quantity or Amount (the CLEANUP query is the only tool that shows how the PO is distributed).

Note: For tips on analyzing all encumbrance amounts on departmental accounts, including additional information regarding the four scenarios listed above, see:

•The "Access the CLEANUP Public Queries That Augment the Procurement & Requisition Budgetary Activity Reports" handout ; and/or

•The PeopleSoft Support Website:

 (http://www.lsuhsc.edu/ps/support/info%20release%20fin.aspx,

Information Release # 11(R) - LSUSH - Encumbrance Analysis Tips and  Information Release # 44 - LSUNO - Encumbrance Analysis Tips.

Click the Return button.

This completes View and Analyze the PO Activity Summary Page.

Enter the desired information into the PO Number field. Enter "00333206".