Vendor Creation

Version: As of version 16.03

Purpose

Vendor records are added for each company that will be used to purchase goods and/or services. These records contain several order default fields which provide the default values when the vendor is selected during purchase order entry and are used in conjunction with Vendor Groups to process Accounts Payable. Order defaults set on Vendor records may be overridden by users as necessary during Purchase Order entry. Vendor parts and pricing are optional tools that can be used to automatically populate the vendor's part number and purchase price when using certain vendors for purchasing specific parts. Additional information on these topics can be found via the links in the Related Processes section.

Security and Configuration

Security/Permissions

The following are required for this process. Note: Additional security may be required. See your system administrator for security access.

  • Purchasing menu
  • Vendors - access vendor management
  • Vendors - add

In order to manage or modify existing Vendor records, users will need the appropriate security access via Users or User Groups. For information on how to configure security, refer to Managing User Access and Security Settings

Configuration

The following configuration needs to be completed prior to performing vendor creation:

  • Purchasing Options - this tab includes multiple order and Vendor defaults and is useful for having information automatically populate to reduce the manual data entry workload.
  • Chart of Accounts - an AP Account must be created, which represents the account assigned to new Purchase Orders and is debited during Purchase Order payment.
  • Terms and Currencies - used to establish the payment terms the company has with this Vendor and in what currency the Vendor will be paid.
  • Freight Types and Ship Vias - used to establish the party responsible for freight costs and the desired shipping method.
  • User-defined Search 1 and Search 2 - Captions for the Search items are defined via System > Maintenance > Captions and the associated pick list selections are managed in Purchasing > Maintenance > Search 1 and Search 2. These fields allow users to define or select additional criteria regarding Vendors and Purchase Orders that is not already tracked in the system..

Related Processes

Procedure

  1. Navigate to Purchasing > Vendors.
  2. To modify an existing record, select the desired record using the "Vendor" field on the pre-filter, then click "Modify" to open the Edit Vendor form. Modify the desired fields and/or flags, then skip to step 4.
  3. To add a new record, click "Add" on the pre-filter to open the Edit Vendor form.
    1. On the form header:
      1. Enter the name of the Vendor in the "Vendor" field.
      2. If the main contact for the Vendor is known, enter their information in the "Primary Contact", "Phone", and "Extension" fields.
    2. On the General tab:
      1. Enter the address information for where the Vendor is physically located.
      2. Specify an e-mail address to use for communication.
      3. If a 1099 is required for this Vendor, enter a "Social Security Number" or "Taxpayer ID".
      4. If a user entering or receiving a Purchase Order for this Vendor should be prompted with a message, enter the message in the desired "Pop-up Notes" memo field.
      5. Specify if initial User Lot quality control results should be retained for items sourced from this Vendor using the "Retain QC" pick list.
      6. If purchases from this Vendor must be of a certain quantity or dollar amount, enter the details using the "Minimum Unit", "Unit Of Measure", and "Minimum Extension" fields.
      7. Select a "Language" if documents printed for this Vendor should use one other than English.
      8. Check the appropriate flags.
    3. On the Remit To tab:
      1. Enter the address and contact information for where payments for the Vendor should be directed, if different than the address on the General tab.
    4. On the Order Defaults tab:
      1. Specify the accounts that will typically be used for purchases and payments of orders associated with this Vendor.
      2. If Vendor Groups will be used to pay invoices, make a selection in the "Vendor Group" field, referring to Managing Vendors Using Vendor Groups for more information.
      3. Select the Facility, Terms, Freight Type, Ship Via, PO Search 1-2, and Currency that will populate as the default for new orders entered for this Vendor.
      4. If orders for this Vendor should be assigned a specific Work Flow, select it using the "Default Work Flow" field.
      5. Set the "PO Type" based on if orders for this Vendor will typically be available for all users to view or only users with specific security.
      6. Select the date that should be used to price orders for this Vendor using the "Pricing Based On" pick list.
      7. Specify if orders for this Vendor will normally be associated with a Project.
      8. If a 1099 is required for this Vendor, select the default "1099 Form Type" that will be used and check the "1099 Required" flag.
      9. Check other flags as appropriate.
    5. On the User Fields tab:
      1. Complete fields as applicable.
    6. On the Work Flow tab:
      1. If a Work Flow should be assigned, click "Work Flow Type" and select the appropriate record.
      2. If a Sequence not part of the assigned Work Flow should be assigned (or if there is no Work Flow assigned but a Sequence should be added), click "Add Task" to open the Edit Work Flow Sequence form, enter a name, then save and exit the Edit Work Flow Sequence form.
      3. If a Sequence should be completed, select the Sequence, click "Modify" to open the Edit Work Flow Sequence form, click "Complete" to populate the "Completed", "Time", and "Completed By" fields, then save and exit the Edit Work Flow Sequence form.
      4. Repeat step 7.3 for all Sequences that should be completed.
    7. On the GL Overrides tab:
      1. Assign General Ledger overrides as necessary, referring to Configuring GL Overrides for more information.
    8. On the Tax Regions tab:
      1. Assign Tax Regions as necessary or leave blank if using the TaxJar API.
  4. Once all selections have been made, click "Save" to complete the process.