Entering Purchase Orders to Clear Previous PO Receipt

Configuration Process FAQ & Diagnostic Tips

Negative purchase orders can be used to clear a bad PO receipt when unable to un-receive the PO. An example of a bad PO would be one received in full, but only 19,000 of 20,000 ordered item arrived. Another example of when this would be used is if the cost of the original lots was incorrect when received in actual cost mode or if the period that the PO was received is now closed

Configuration

No specific configuration is required.

Process

Below are the steps to create a negative PO for the business case specified above.

1. Purchasing > Order Entry. Create a new purchase order identical to the original PO. Add the same part and quantity as the original PO, except negative. Using the example above, the quantity entered would be -20,000. As a result of using a negative quantity, the total order field will also display as negative.
2. Purchasing > Receive. Receive the negative PO. Be sure to select the same lots used to receive the original PO.
3. Purchasing > Invoice. Process a "dummy" invoice against both the original and the negative purchase order. Do not use the invoice number of the original purchase order as this will be used later in the process.

By receiving the negative PO with the same lots as the original PO, the orders will zero themselves out. The actual amount shipped can be received on the original PO, if it is still open. If the original PO is complete, a new PO can be entered and received.

FAQ & Diagnostic Tips

How do I process a check from a vendor that is for a negative purchase order?

Process a manual check, select the purchase order, and process as usual. The system knows to deposit the amount in the account. Enter check reference number when prompted.