Creating Blanket Purchase Orders

A blanket purchase order (PO) is a pre-approved PO to a specific vendor with a maximum dollar amount. This type of PO can be for specific items and allows you to limit the line item amount for each item. They also usually apply to vendors that are used on a regular basis. An unapproved blanket PO is actually more like a requisition and is not “officially” an actionable purchase order.

Creating a blanket PO involves 6 main steps and 2 wizards:

Access Add Blanket PO Wizard.

Enter blanket PO details.

Select vendor.

Select warehouse.

Approve blanket PO.

Create purchase order from blanket PO: Create New Purchase Order from Blanket PO Wizard.

REMINDER:You must first set up a purchase request with the specific item(s) for which you want included in the blanket purchase order.

Access Purchase Orders

From the Main Menu screen, click BLANKET PO. The Browse Blanket PO screen appears with all approved blanket PO’s displayed in a table.

Access Add Blanket PO Wizard

Click

on the toolbar. The Add Blanket PO Wizard is initiated.

Enter Blanket PO Details

Enter a detailed description of the blanket PO, such as “Home Depot April 2008.”

Enter the blanket PO date (start date that defaults to today’s date) and blanket PO expired date (end date that defaults to one year from today’s date - this is the last day you can use the PO).

Note: For the blanket PO expired date, Tenmast recommends no later than 3 months in the future.

Enter the maximum dollar amount for this blanket PO in the max amount field. This should be the cumulative total of all PO's created under the blanket PO being added.

Enter the maximum item amount. This is the maximum allowable amount for one item created under this blanket PO.

Enter the tax rate, if applicable. (This is not a required field.)

Click START. The second step of the wizard appears with all active vendors displayed in a table.

Search For and Select Vendor to Work With

You may select to filter the vendor table by category (such as carpentry or plumbing). After selecting the information from the drop-down list, the vendors who meet your filter criteria display in the table below.

10.

Select how you would like to order the vendor table from the ordered by drop-down list.

11.

Type your search criteria into the search for field and click GO. The table will sort accordingly. (This is an exact search field. For example, if you select to order by vendor number, you must enter the entire number for the search to be successful.)

12.

Highlight the vendor you want to work with and click NEXT to continue.

Select Warehouse

13.

Highlight the warehouse to where you want the purchased items sent and click NEXT.

Review and Finish

14.

Review and confirm the blanket PO information you have set up.

15.

When you are satisfied with the information, click FINISH to apply your changes and create the unapproved blanket PO. The Browse Blanket PO screen displays. Because this screen defaults to display only approved blanket POs, you will not see the newly added blanket PO. To view the new blanket PO, select “All” from the view drop-down list.

Add Approval Signature

16.

Select the blanket PO you just created and click

. The Maintain Blanket PO screen appears.

17.

Click

on the toolbar and select “Add Approval Signature.” The Add Approval Signature on PO screen opens.

Hint: Before adding an approval signature, you still have the ability to edit blanket PO details, such as tax rate and amounts, on the Main tab of the Maintain Blanket PO screen.

18.

Select the approval signature from the approved by drop-down list, enter the PIN number, and check the complete approval checkbox.

Note: If multiple approvals are needed, (for example, if you are only allowed to approve a requisition for a certain amount and the requisition is for more than that amount), do not check the complete approval checkbox. This will keep the requisition open until another person with the necessary approval rights can complete the approval.

19.

Click OK; the Maintain Blanket PO screen displays again. The approved blanket PO funds are now ready to be used in an actionable purchase order.

Create Purchase Order from Blanket PO

20.

Click

on the toolbar to return to the Browse Blanket PO screen, select the blanket PO you just approved, click

, and select “Create PO.” The Create New Purchase Order from Blanket PO Wizard is initiated.

21.

Highlight the blanket PO you want to work with and click START to continue.

22.

Enter a detailed description of the purchase order, such as “Light fixtures week of Feb. 4” and specify the PO date (defaults as today’s date) and due date (also defaults as today’s date).

Select Purchase Request(s)

23.

Highlight the request in the top, available requests list and click

. The request now displays in the bottom, selected requests list. Repeat until all requests are placed in the selected requests list. If necessary, you may search for the purchase request using the filter drop-down lists at the top of the screen. To move all items to the bottom of the screen, just click

24.

If necessary, edit the quantity and/or unit/total cost of any of the selected requests.

Hint: You also have the ability to “express add” a purchase request here. Click to access the Add Purchase Request Wizard.

Select Vendor

25.

Click NEXT to continue to the next step of the wizard. The default vendor is displayed in a table.

26.

Highlight the vendor and click NEXT.

Select Warehouse

27.

Select the warehouse to where the vendor should send the requested item(s).

Review and Confirm

28.

Click NEXT. Verify and confirm that the information you entered is correct and click FINISH to allow the blanket PO funds to be used in an open, actionable purchase order. The Browse Blanket PO screen appears.

To print or preview the purchase order, select the appropriate option from the print drop-down list.

Review Purchase Order Details

29.

Exit back to the Purchase Orders Main Menu screen and click PURCHASE ORDER. The Browse Orders screen appears with all open purchase orders displayed in a table with the most recently created purchase order at the bottom.

30.

To view open purchase orders created from blanket POs, select “All” from the view drop-down list.

31.

Select the purchase order you just created from a blanket PO and click

to access the Maintain Orders screen.

32.

Review all purchase order details and make changes, if necessary, on information contained on the screen’s three tabs. (Limited information is available to edit at this time, such as tax rate, shipping cost, etc.) Click

on the toolbar to save all changes.

Receive Items

33.

Select the Received tab, click

, and select “Receiving Items.” The Add Received Item Wizard is initiated.

Note: You can also access the Add Received Item Wizard by clicking RECEIVE PO on the Main Menu screen.

34.

Verify the received date and enter a shipping cost and discount amount, if applicable.

35.

Make sure the displayed warehouse is correct. (This is the warehouse where the items will be increased.) Click START to access step two of the wizard.

36.

In the received qty field of each item, enter the quantity of the item to be received into the warehouse.

Click to receive in all items; click to clear all entered item quantities.

Review and Confirm

37.

Click NEXT. Verify and confirm that the information you entered is correct and click FINISH. The items contained in the purchase order are now added into the warehouse you selected. The purchase order you created from a blanket PO is now closed and you are now finished guiding a blanket PO through its entire life cycle, from pre-approval to purchase order!