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Banner Finance – ProcurementPlease Sign In

Housekeeping

• Cell Phones

• Facilities– Restrooms– Vending Machines– Emergency Assembly Area

• Breaks

Banner Finance – Procurement Course Goal

This 2-day course will familiarize you with the Banner Finance module used to create purchase requisitions, process electronic change orders, and electronically receive orders, or track requisition. This course will also provide you with essential resources needed to obtain information related to the purchasing process.

Course Objective Day 1

• Through demonstration and completion of practice exercises, participants will be able to use the Banner Finance Module to – create a complete, accurate, and auditable purchase

requisition

Procurement Cycle• Department creates purchase requisition• Purchase requisition goes through Approval

Process• Central Purchasing transfers Purchase Requisition

to Purchase Order• Purchase Order sent to Vendor• Product received• University receives invoice from vendor• Payment to vendor occurs

Commodity Defined

• Commodity is a categorization of like items

– Commodity codes are titled as non capital or capital

– Units of Measurement have been defined for each Commodity Code by Central Purchasing

Accounting Levels for Requisitions

Accounting levels refer to how the monies are distributed to pay for the items.

Two Types of Accounting Levels in Banner

• Commodity Level Accounting

• Document Level Accounting

Commodity Level Accounting

• Each “line” or commodity item of the requisition has its own accounting distribution

• This is the standard accounting level used when creating a Purchase Requisition

Document Level Accounting

• The accounting distribution applies to the whole requisition rather than a specific commodity

FOAPAL

FundF

OrganizationO

ActivityA

LocationL

Only use Restricted and Unrestricted Funds

Department Responsible for Payment

Temporary or Short Duration

AccountA

Non-Labor Expenditures Functional

Classification

ProgramP

PhysicalPlacesand Sites

Required Segments Optional Segments

ChartC

Index Number

• A 6 character abbreviation of the Fund, Organization and Program

• Automatically populates Fund, Organization and Program in Banner

• Transactions must have Fund, Organization, Account and Program (FOAP)

Central Purchasing Overview

Creating Purchase Requisitions in Banner

Banner Finance – Procurement IIPlease Sign In

Course Objective Day 2

• Through demonstration or completion of practice exercises, participants will be able to use the Banner Finance Module to – process an electronic change order– complete the purchasing cycle by electronically

receiving orders

What Happens After the Purchase Requisition?

• Following approval, requisition is sent to Central Purchasing

• Requisition is reviewed by Central Purchasing• Bids are advertised if appropriate• Received bids are evaluated if applicable• Purchase Order is approved by Central Purchasing• Product is ordered

Receiving in BannerOverview

• Matching Payment Types

• Receiving orders in Banner

• Making receipt adjustments in Banner

Three-way Match

Total purchase is $1,000 or more, non-taggable

• Purchase Order sent to Vendor

• Vendor sends Invoice to Accounts Payable

• Order must be received online by department before Invoice can be paid

Two-Way MatchTotal purchase is LESS THAN $1,000 OR Purchase is for Services

• Purchase Order sent to Vendor• Vendor sends Invoice to Accounts Payable• Accounts Payable pays Invoice

– Dept must authorize Invoice for Services

Central Receiving

• Receives all equipment $1,000 or more

• Will receive entire order if order contains taggable and non-taggable products

• Will electronically receive the order in Banner so department does not have to

Receiving in Banner

Accounts Payable Overview

HELP!

• ICT Help Desk 646-HELP (4357)• E-mail requests

help_admin@nmsu.edu